Leadership Theories and BAT: A Comparative Analysis

This essay examines leadership and management principles within the context of British American Tobacco (BAT). It begins by defining leadership and management, emphasizing their interconnectedness and importance for organizational success. The main body focuses on the application of contingency theory, analyzing its suitability for BAT's challenges, including issues with organizational culture, staff turnover, and consumer complaints. The essay then evaluates the contingency theory, comparing it with behavioral, great man, and trait theories, highlighting their strengths and weaknesses in relation to BAT's specific needs. The conclusion reiterates the significance of leadership and management styles, recommending the implementation of the contingency theory to address the company's organizational issues and improve its overall performance. The report provides recommendations for BAT's leadership approach, considering various leadership theories and their potential impact on the company's success in the competitive business environment. The essay draws on the need for change in the economic environment of business and analyzes the needs and suitable leadership techniques in British American Tobacco.

Essay

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Basic concept of leadership and management............................................................................3
Leadership Style and critical Evaluation with other styles.........................................................4
Integrated comparison of three theories......................................................................................6
CONCLUSION................................................................................................................................7
RECOMMENDATION...................................................................................................................7
REFERENCES ...............................................................................................................................9

INTRODUCTION
In the competitive business environment, need of rapid change in the economical
environment of business can be observed to response the consumer requirements. There are
numerous elements in the style of leadership which effect the organisational culture more
effectively (Blomme, Kodden and Beasley-Suffolk, 2015). Culture of organisation and
leadership, both are considered as fundamental elements of enterprise which can help in gaining
the sustainable growth and benefits. The purpose of this report is to analyse the needs and
suitable leadership techniques in British American Tobacco as the manager of company is
recently facing the issues with the existing culture of enterprise. The company is publicly
marketed largest company who deals with Tobacco in entire world.
MAIN BODY
Basic concept of leadership and management
Management and leadership are complementary and interlinked terms which must
function hand in hand. But for the development of report, this is essential for a business
organisation to examine the basic concept of these terms. Leadership refer to the skills of guiding
and influencing individual, teams or organisations in order to provide support and achieving
desired objectives. On the other side, management can be defined as the disciplines process of
managing activities and operations of business in the most suitable and appropriate manner. This
is an skill and art of meeting the work requirements of British American Tobacco.
Though both terms sounds similar and familiar to an individual, there is a wide gap
between both of these (Chhokar, Brodbeck and House eds., 2013). This is required to understand
why both are different from each other. Leadership whereas refer to a skills of managing or
guiding people of company whereas the administration is the art of organising and coordinating
the activities in systematic manner. Leadership where focus over trust through influencing and
motivating people adapting the proactive strategy of working. On the flipped side, management
opt reactive strategy of working who aims over carrying out stability at workplace of British
American Tobacco. The main work that manager plays is to monitor and control individual as
well as activities the respected organisation.
According to the case study, sales manager of British American Tobacco company is
considering to transform their recent organisational culture in their team. Due to rapid alternation
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the economic environment, high staff turnover, increase in complaints of clients, inability to
resolve issues as well as requirements of consumer responses, enterprise is focusing over the idea
of carrying out suitable changes in the style of leadership and in culture of BAT. According to
these changes, Sales manager has aimed over more involvement of sales team in process of
decision making supporting their rights and providing them value within the company. The main
purpose of this change was to provide value and importance of each individual of organisation
(Hsiung, 2012). Thus, in order to implement company has planned to execute new leadership
style i.e. Contingency theory of leadership.
Leadership Style and critical Evaluation with other styles
British American Tobacco has determined to work over different changes within the
leadership style and culture of organisation in order to improve their recent situation. The major
aim of the sales manager of BAT is to enhance the working situation of organisation in the entire
market along with considering or providing each individual of company proper satisfaction and
value. Thus, for this purpose, they have adopted the contingency theory of leadership within their
environment of business for changing the culture.
Contingency Leadership Theory
Contingency theory of leadership argues that when it comes to leading and guiding
people in different situation. There are no certain way of leading and each and every style of
leadership is relied over specific situation that indicated that certain individual are performing
their activities of work in particular places at their maximum level, but when it leaves over the
low performance level, there is requirements of changing those elements. On the other hand, it
can state that this is an extended version of trait theory of leadership according which the trait of
human being is linked with the certain situation in which manager or leaders of company
exercise their type of leadership within the business environment. This is being considered in
some of the parts of contingency theory which focus that leaders of enterprise are more often
express their skills when their followers are more responsive and active (Schyns and Schilling,
2011). Fred Fiedler has developed the theory of contingency in 1960's who is also popular as the
father of this theory. This concept presents the view that effective leadership rely on various
variables like culture of organisation as well as task nature.
British American Tobacco is suffering various management and leading issues within
their organisation which is restraining their growth and leading to lack of employee retention
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within their enterprise. Consumers are not satiate with the services and suggestion provided by
workers. The company has observed the needs of modification in their recent culture and found
that contingency theory is more suitable and effective approach in respected of other. Hence, a
proper analysis is being develop over the elements of this concept by researcher of BTA who
identified certain elements of factors that can influence this method: Task Requirements: This is one of the major elements which is considered while
developing contingency theory within the workplace. British American Tobacco can
attain their business objectives through managing their work. Task allotment can help in
achieving the vision of enterprise in effective manner. Behaviour and expectation of Peer: This undertakes the peer expectation and behaviour
as priorities of British American Tobacco. Hence, the procedure helps in meeting the
determined outcome, managing the personnel of enterprise, rendering value to each
individual and satiate them along with administration of their operation in proper manner.
 Policies and culture of company: Culture will be widely affected after the inclusion of
new leadership style as the leaders of an organisation are responsible for decision
making. British American Tobacco need to resolve their issues and complaints through
making appropriate decisions.
In order to attempt the major purpose of this theory, company need to understand which
is the best and more efficient models that enterprise can use. Through this, British American
Tobacco can utilise contingency model, theory of path-goal, model of Vroom-Yetton, Blanchard
and Hersey's model of situational leadership etc. Also the efficiency can be improved through the
assistance of this style of leadership which is one of the most effective methods within the
company.
Re-evaluation of Contingency Theory
Also this company is intending to make the changes or transforming their leadership
model to seek better outcome in effective manner. British American Tobacco is global largest
company of tobacco in the international trade (Parris and Peachey, 2013). As the organisation is
facing various issues within their economical situation, aiming to support and protect the value
of each individual, focused over engagement of worker in decision making procedure,
contingency leadership theory which is more focused and suitable according to the recent
requirements and situation of market. After re-evaluating this theory, it can be stated that the
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leading style can differ according to the different situation. Hence in order to accomplishing
entire activities and target, contingency theory can be more optimistic along with wider scope.
Integrated comparison of three theories
According to Jackson and Parry (2011), benefit can be observed or measured through
critically analysing it from its competing elements that can help in understanding an aspect or
element clearly. In order to understand the benefits and limitation of this theory and its feasibility
in the British American Tobacco company, this is required to make a comparative analysis of
their elements with distinct theories in the marketplace. Here are critically analysed three of
those theories which has been compared to the contingency theory of leadership i.e. mentioned
as below:
Behavioural theory compared with Contingency theory
According to Johnston and Marshall (2016), behavioural leadership theory mainly
concentrate on particular behaviour of leader. It is a best prediction of leadership as well as
success in it. On the other hand, this often refer to the theories set which explains the behaviour
of leader according to different situation of organisation. In behavioural theory, they are
supporting a new perspective, in which one can concentrate on leaders behaviour as opposed to
their social, mental and physical characteristics. This theories are divided into two categories
which are concerned with tasks and people. Their are two analysed in the styles of leadership are
oriented styles and tasks and workers. Where on the other side, contingency theory developed
over the task orientation and other elements. In behavioural theory, personal traits gives only
leadership foundations, original leaders are made by life experiences, training and educations. As
per the requirements of organisation, behavioural theory is unsuitable which will only focus over
the company and their work. There is no enhancement and development of worker according to
this theory. Thus, it can be claimed that contingency theory is better and effective techniques
which can aid in achieving the desired outcome in better manner.
Great man theory v/s Contingency theory
According to Nkomo (2011), this is one of the oldest and fundamental theory which was
developed back in 19th century. There is no scientific certainty and facts over this story but it
claims that the combination or characteristics of human are liable for recognising great leaders.
This theory consider the leadership trait intrinsic. This claims that great leaders or guide are not
made but born with inheritance of the leading traits within themselves. Where on the flipped
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side, contingency theory believes that the skills and traits of leading are situational which should
vary according to different condition within the marketplace. The theory has their own facts and
data along with only information which can aid in achieving success in organised and most
systematic manner. Nature of this theory is more reactive which focus over the implementation
of activities. On the other side, great man theory faces various circumstances which has less
scope.
Trait Theory in comparison of Contingency Theory
According to Montgomery ed., 2011, the previous studies of 90's determines and focus
over the leader's traits more than their style of leading. In order to evaluate the style of leading,
most researcher and psychologists attempted various studies in developed the traits theory. The
major differences between contingency and traits theory is both are opposite to each other.
Where the contingency theory is linked with the style of leading and circumstances of the
organisational environment, traits theory states that leaders are made with or are born with
specific leading skills and qualities which can help them in meeting their goals and influencing
people. There are few elements such as qualities, creativity, responsibility and values of a better
leader which makes them unique from the common people. This is coherent contrast of
contingency theory which has been proven inappropriate in various cases. Thus, the company
find better to prefer the contingency theory rather than traits.
CONCLUSION
The above report summarise that there are various elements that an organisation should
undertake but the most significant are culture, management and leadership style of company
which shapes their activities and operations of business. There are various theories of leadership
and management in trade that can be applied in effective manner according to the demands and
requirements. In British American Tobacco, company can opt the contingency leadership theory
in order to make alternation within their working system and culture of company.
RECOMMENDATION
British American Tobacco company is largest company which sales tobacco products in
approximate entire world. As per the change demand within the organisation, the most suitable
and appropriate theory which company can implement is contingency theory. Also there are
various other theories in which behavioural leadership theory can be analysed as well for further
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purposes. British American Tobacco can also make use of participative style of leadership that
promote the decision making procedure within the company.
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REFERENCES
Books and Journals
Blomme, R. J., Kodden, B. and Beasley-Suffolk, A., 2015. Leadership theories and the concept
of work engagement: Creating a conceptual framework for management implications
and research. Journal of Management & Organization. 21(2). pp. 125-144.
Chhokar, J. S., Brodbeck, F. C. and House, R. J. eds., 2013. Culture and leadership across the
world: The GLOBE book of in-depth studies of 25 societies. Routledge.
Hsiung, H. H., 2012. Authentic leadership and employee voice behavior: A multi-level
psychological process. Journal of business ethics. 107(3). pp. 349-361.
Jackson, B. and Parry, K., 2011. A very short fairly interesting and reasonably cheap book about
studying leadership. Sage.
Johnston, M. W. and Marshall, G. W., 2016. Sales force management: Leadership, innovation,
technology. Routledge.
Montgomery, C. A. ed., 2011. Resource-based and evolutionary theories of the firm: towards a
synthesis. Springer Science & Business Media.
Nkomo, S. M., 2011. A postcolonial and anti-colonial reading of ‘African’leadership and
management in organization studies: Tensions, contradictions and possibilities.
Organization. 18(3). pp. 365-386.
Parris, D. L. and Peachey, J. W., 2013. A systematic literature review of servant leadership
theory in organizational contexts. Journal of business ethics. 113(3). pp. 377-393.
Schyns, B. and Schilling, J., 2011. Implicit leadership theories: Think leader, think effective?.
Journal of Management Inquiry. 20(2). pp. 141-150.
Online
About Behavioral & Contingency Theories. 2017. [Online]. Available
through:<https://bizfluent.com/info-8701823-behavioral-contingency-theories.html>.
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