Strategic Management and Leadership Skills Report - BTEC Unit 1

This report provides a comprehensive analysis of strategic management and leadership skills within the context of Ajman Free Zone (AFZ). It explores the crucial link between strategic management and leadership, examining the impact of various management and leadership styles on strategic dec...Read More

Running head: DEVELOPING STRATEGIC MANAGEMENT AND LEADERSHIP SKILLS
Developing Strategic Management and Leadership Skills
Student’s name:
Name of the university:
Author’s note:

1DEVELOPING STRATEGIC MANAGEMENT AND LEADERSHIP SKILLS
Table of Contents
Introduction......................................................................................................................................2
Task 1...............................................................................................................................................2
1.1 Explaining the link between strategic management and leadership......................................2
1.2 Analysing the impact of management and leadership styles on strategic decisions..............3
1.3 Evaluating the process of leadership styles to be adapted to different situations..................4
TASK 2............................................................................................................................................6
2.1 Reviewing the impact of selected theories of management and leadership have on
organisational strategy.................................................................................................................6
2.2 Creating a leadership strategy that supports the organisational direction.............................8
TASK 3............................................................................................................................................9
3.1 Using appropriate methods to review current leadership requirements................................9
3.2 Planning for the development of future situations requiring leadership..............................12
TASK 4..........................................................................................................................................13
4.1 Planning the development of leadership skills for a specific requirement..........................13
4.2 Reporting on the usefulness of methods used to plan the development of leadership skills
...................................................................................................................................................16
Conclusion.....................................................................................................................................17
Reference List................................................................................................................................19

2DEVELOPING STRATEGIC MANAGEMENT AND LEADERSHIP SKILLS
Introduction
Strategic leadership within an organisation mainly occurs in different places, at the top, in
the middle and at the departmental level. Strategic management and leadership provide good
scope and direction to drive the success of the firms. As stated by Hill et al. (2014), a major part
of this strategic success comes from the effectively controlling the continuous change through
the development of the process and the people. This study highlights in developing strategic
management and leadership skills. Azman Free Zone (AFZ) is a UAE based company. The
organisation is responsible for immense industrial development in Ajman. The company offers
investment privileges thus, attracting a number of companies. Ajman Free Zone was established
in the year 1988 and it offers competitive privilege and flexibility for the companies by enabling
them an opportunity to earn high return on investments (Afz.gov.ae 2018). There are four parts
to the assignment, which helps in establishing the relationship in between the concepts of
strategic management and leadership aligning with the appropriate theories to understand the
case study. This study describes the assessment of leadership requirements to make the plan of
the improvement of leadership skills.
Task 1
1.1 Explaining the link between strategic management and leadership
Drotter stated six passages of pipeline in a life of a leader. In the first passage, the leaders
have to manage self and the leaders have to manage others. The leaders contribute by working on
the assigned tasks within the given time. In the second passage, the leaders manage others to
control the managers assigning leadership and managerial work to the people. In this stage, the
leaders need to recognise the value-based resistance to managerial work (Drotter et al. 2006). In

3DEVELOPING STRATEGIC MANAGEMENT AND LEADERSHIP SKILLS
the third passage, the author mentioned of managing the managers to control the function and
managers endeavour to make out the value of the work. In the next passage, functional managers
must understand to business manager. In the fifth stage, business manager tries to be group
managers where the group manager provides value to the success of people's business. The final
stage of the strategic management occurs when group managers become the enterprise manager.
The strategy is the way to achieve the goal within the organisation and strategy is just not
only the ideas. As stated by Goetsch and Davis (2014), strategic management is an approach to
create an organizational future by evolving in a turbulent environment. When the managers
discuss the strategies, they actually work out the systematic plan for the betterment of the
organisation. It has been noticed that strategy can enable the management to ensure all the work
must be done by the employees focusing on the long-term interest of the organisation. Strategic
management is the rightful approach for maintaining business opportunities along with
mitigating the challenges. The objective of strategic management of Ajman Free Zone is to
develop the infrastructure for the location so that the different companies can make the trade and
financial operations near Ajman. According to Ginter et al. (2018), leadership is identified as the
way in which the group and individuals are influenced towards firms’ objectives. Strategic
leadership is one of the parts of strategic leadership and this process deals with kind notions as
strategic thinking and strategic changes (Bergh et al. 2016). On the other side, strategic
leadership means the strategic use of resources of the firms for organisational capacity building
and creation of value in the volatile environment. Strategic leadership of Ajman Free Zone is to
influence to make decisions for the long-term success.

4DEVELOPING STRATEGIC MANAGEMENT AND LEADERSHIP SKILLS
1.2 Analysing the impact of management and leadership styles on strategic decisions
Therefore, strategic thinking is involved working out the responses of organisational
changes in the external and internal business process by understanding the weaknesses and
strengths of the opportunities of the organisation in order to control the competitive advantages
and sustainability. The strategic business decision can lead to a competitive advantage as it can
help the organisation to recognise its objectives and strategies to gain the organisational goal
(Saeed et al. 2014). Situational leadership is based on the main the relationship between
followers and the leaders as the framework to discuss the situation. Managers and leaders both
can provide socioemotional support to the employees. Leaders can be autocratic and these types
of employees have no rule in case of decision-making as they just take a decision and no one
must question on this. In addition, democratic leaders make the decision after discussing with the
employees. As opined by Yahaya and Ebrahim (2016), passive leaders give general direction to
the work process to be tackled.
Ajman Free Zone develops the leadership style at every level which helps to sustain the
organisation’s long-term success. AFZ mainly follows the democratic leadership which helps the
leaders to take the strategic decision. The decisions of major organisation based activities such as
controlling, planning, evaluating and motivating of the employees are taken based on the
leadership styles. Leaders can control the problem if they find out the difficulties and the process
of solving problems will be different. While generating strategic decision; the leadership styles
of the leaders play an important role as the business environment can be competitive and
leadership skills can help to achieve organisational goals.
1.3 Evaluating the process of leadership styles to be adapted to different situations
Leading from the front:

5DEVELOPING STRATEGIC MANAGEMENT AND LEADERSHIP SKILLS
Leaders can be at the top of their performance when they lead the team from the front.
AFZ has the good set of leaders and they are young along with they are efficient. I have been
working in AFZ and my team leader Ashfaq is very good with the quality of transformational
leadership style. Each of the team members follows Ashfaq and Ashfaq inspires the employees
always. Ashfaq is the team leaders of the marketing team and he has the capacity to recognise the
needed change, executing the change and creating the vision. I am part of the marketing team
and each time members give their best to provide the best result.
Being social and friendly:
Ajman Free Zone has mainly democratic leaders who can put an impact on discussing
with the employees. Democratic leadership is more like a participative leadership in which the
group members participate in the process of decision-making (Arnold et al. 2015). These types of
leaders always encourage the group members to share the ideas as well as opinion. Members of
the employees
Assigning the tasks:
Team leaders within the organisation are responsible for executing, planning and
promoting the activities and team leaders are responsible to ensure that projects must be
developed by assigning the tasks to the right set of people (Saleem 2015). Leaders in AFZ
encourages all participants to take an active role in the assigning the tasks to the employees.
Setting example:
The leaders in AFZ try to set the examples of four types of leadership. At first, I was
posted under a leader who liked to portray the directing leadership and we were instructed to

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follow what the leader was saying to complete the tasks. In the finance team of AFZ, the leaders
show the declarative type of leadership and group members do the work set by the leaders.
TASK 2
2.1 Reviewing the impact of selected theories of management and leadership have on
organisational strategy
Leaders within an organisation study the situations and the leaders use the appropriate
style of leadership in order to handle the condition. Most of the management theories are mostly
based on leaders and these theories do not have any relations with the followers. Leadership is
mainly processed through which the leaders can guide the members to achieve the organizational
objectives. In AFZ, the leaders like to use different leadership styles based on the conditions
which distinguish the leaders and the followers
Theories of management and leadership:
Trait theory:
Trait theory of leadership is dealt with the characteristics of the leaders which help to
predict the effectiveness of the leadership (Chemers 2014). Traits of the leaders can be identified
through psychological, demographic, self-confidence and intellective. In the organisation Ajman
Free Zone, the leaders have the mission to contribute to the growth of the Emirate of Ajman
economy through excellence in providing the best new and innovative services with smart
solutions. The leaders give the high level of effort to drive the achievement for the employees
with high level of ambition. The leaders give motivation with intense desire to lead team

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members to reach the shared goals. The leaders in AFZ have the integrity and honesty; the
leaders ask the team members to be trustworthy, able and reliable. The core values of the leaders
of AFZ are the transparency, adaptability and creativity with innovation. Therefore, application
of the trait theory of leadership can validate the concept of leadership. Trait theory serves
detailed knowledge to the leaders so that the leadership process can run smooth.
Bureaucracy theory
Max Weber developed the Bureaucratic management theory and this theory mainly
contains two essential elements; structuring of an organisation and rules of an organisation. As
stated by Weber (2017), bureaucratic management emphasises the organisational operations in a
rational way rather than arbitrary matters. In the organisations, management can take the
bureaucratic approach when the management takes the decision of dividing the labour
specialisation. Ajman Free Zone tries to make a balance between responsibilities and power. The
leaders of AFZ follow the hierarchy and the senior level management believes in the chain of
command to take the decisions along with the flow of effective communication. According to
Beetham (2018), organisations’ and owners’ assets must be separated and the organisations need
to have the proper set of rules. AFZ uses the promotions and selection of the employees based on
the skills, experience and equalisation and leaders do not influence the personal relations in
promotions of the employees. Ajman Free Zone runs in the characteristics of bureaucratic
management as the leaders follow well-defined command and relationship between
organisation’s employees is formal.
Contingency theory

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Fred Fiedler proposed Contingency theory as it mainly emphasises the leaders’
personality along with situation to operate. Contingency theory proposes that leaders can take
two types of management decisions during the time of crisis and needs; task-motivated
leadership and relationship-motivated leadership (Otley 2016). AFZ strives to become the
leading global centre for attracting the foreign investment. The leaders are trying to attract the
investors in achieving the happiness and prosperity. In AFZ the leaders deal with the employees
to share the loyalty, trust and confidence. Task structure is associated with the clarity of the work
to accomplish the tasks. As stated by Lussier and Achua (2015), the organisations follow the
position of power to show the amount of reward-punishment authority which the leaders have
over the members.
2.2 Creating a leadership strategy that supports the organisational direction
AFZ is an organisation which focuses on developing Ajman area to enable the location to
attract the foreign investment for both industrial positioning and for residents in the area. The
management provides the advanced infrastructure and building the strategic partnership with the
private sectors and public offices to develop a position to support the investors. The leaders of
AFZ can focus on the management process of organising, controlling and on short-term
planning. Therefore, it is feasible for AFZ context, the leaders can take the transactional
leadership which involves directing and motivating the employees through putting the tasks
based on the self-interest of the employees. Strategic management enables the organisation to
follow the objectives along with making the policies for the senior management which may
judge the direction and scope of the organisation (Banker et al. 2014). Within the organisations,
things are changing rapidly and the management has to adapt to these changes. Managers and
leaders can adopt different styles for various situations. Strategic thinking processes are the

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mission and vision while the strategic changes are the creating, implementing strategy and
building the capabilities. The power of the transactional leaders emerges from the formal
authority as well as the responsibility of the employees.
The major objectives of the employees are to admit the presence of the leaders and to
obey the leaders’ instructions. Strategic management is the way to establish and control the
strategies of the organisation in implementing the strategy with good spirit. The leaders in Ajman
Free Zone can take the strategy of motivating the employees as the system of punishment and
rewards. The leaders need to do what the subordinates want; the leaders can get what they are
wishing for. The leaders within the organisation can make involve themselves in four sections.
First, transactional leaders can take the strategy of linking the rewards and goals providing
resources to the employees. The leaders can monitor the subordinates’ tasks and if the employees
deviate from the standards; they can take the effective measure. In addition, transactional leaders
can intervene when the performance of the employees are not meeting the standards. Lastly,
transactional leaders sometimes can ask the subordinates to make the managerial decisions. AFZ
will have the better result when the leaders will abdicate the roles and take the participative
leadership style to make the focus on the work.
TASK 3
3.1 Using appropriate methods to review current leadership requirements
Blake and Moulton’s Managerial grid

10DEVELOPING STRATEGIC MANAGEMENT AND LEADERSHIP SKILLS
Figure 1: Blake and Moulton’s Managerial grid
(Source: Blake and Mouton 1982)
During the time of the 1960s, Robert Blake and Jane Mouton developed the graphic
imagery of the leadership styles. In the graphic portrayal, there is a managerial grid which has
two axes depicting two types of leadership behaviour (Blake and Mouton 1982). Y-axis depicts
the concern for people and X-axis depicts the concern for production. Each of the dimensions of
the grid has the range from 1 (low) to 9 (high), therefore, it has 81 different managerial grid
positions. AFZ can check the leadership requirement through five different strategies which
result from the graphs. If the position in the grid shows (1, 1); it signifies that the leaders have
lower concern for the employees within the organisation. If the grid position shows (9, 1); it is
called task management and it signifies the leaders’ concern about the production. If the grid
position depicts (5, 5); this position depicts the compromising style and the leaders strive to
maintain a balance between the organisations and needs of the employees. If the grid shows (1,

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9); this means the leaders provide attention to the team members and the leaders’ behaviour is
comfortable and friendly.
360-degree feedback
The employees can provide 360-degree feedback from the leaders and this review system
is fully confidential and anonymous. This feedback system of AFZ will be based on the
employees’ peers and managers for the leaders. This feedback will be helpful to develop the
career path for both leaders and the employees to set the target goal to gain the objectives of the
organisations. This feedback can identify the weaknesses and strengths of the leaders. Based on
the feedback, the leaders can improve their performance and culture of working.
Pyramid of leadership:
As stated by Aij and Rapsaniotis (2017), there are three competencies of the leadership
and these are leadership competencies, core competencies and professional competencies.
Organisational leaders can show the professional competencies while making the decisions and
this skill needs to direct the overall process and system. The leaders of AFZ can discuss the self-
based values and principles of the leaders and the leaders have to work with the team.
Management by objective
According to Kearns et al. (2015), management of objective (MBO) is the policy of
management aims to relate the organisational goal to individual performance and development.
The top manager of Ajman Free Zone can set the overall goals and it should convey the lower
management for finishing the work. MBO gives the opportunity for the employees to accept the
responsibility to make the personal contribution. The leaders within AFZ need to clarify the

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management model which must be agreed by the employees and management both. AFZ has the
goal setting and it can have the action plan to encourage the commitment and participation of the
staffs.
3.2 Planning for the development of future situations requiring leadership
Ajman Free Zone values the adaptability and cooperation along with partners in the
industry. Due to certain changes in the external environment of UAE, the competencies of the
leaders can be changed. First of all, the political and regulatory situation can be changed in the
UAE. The leadership of AFZ should have the capability to face the challenges regarding
regulatory courses. The media will definitely broadcast the regulatory changes in the external
environment; the leaders will raise the challenges which are not in favour of the company. The
management strategies of the organisations will be changed according to the new regulations.
The strategies of the organisations will be focused on the future trends of the leadership.
In recent time, an organisation’s worst nightmare is recession and AFZ works for
investment in Ajman area. The organisational leaders need to work on controlling the budget.
The leaders must clear to cut the policy which can increase the expenses of the organisation
(Wagner 2016). The leaders need to swim the channel to better positioning of the company for
the existing customers. AFZ leaders can consider outsourcing everything and the actual strategy
is to turn the fixed cost into variable costs.
Within the organisation, the conflict between two individuals or between organisation and
individuals is common. The conflicts can be useful sometimes to get the best idea for the
organisation or sometimes; conflict can reduce the productivity of the organisation. The leaders'
role is to bridge the gap between the two employees while conflicting or between organisation

13DEVELOPING STRATEGIC MANAGEMENT AND LEADERSHIP SKILLS
and employees. The leaders can pinpoint the lapses and it can help the leaders to resolve
smoothly. The leaders can take time to sit with the employee alone and this personal touch can
heal the conflict. The leaders can plan important discussion so that discussion can help to solve
the issue.
Merger and acquisition pose significance issue to the leaders as during the merger and
acquisition; the leaders have to mix up two organisational cultures simultaneously. According to
Day et al. (2014), the leaders have to accurate in the calculation of the new employees' minds.
The leaders need to foresee the condition of the organisation as a merger and acquisition emerge
as upheaval towards the culture of the organisation. The leaders need to show the compelling of
the vision and they can set the series of goals also.
TASK 4
4.1 Planning the development of leadership skills for a specific requirement
The leaders in AFZ must possess the true leadership skills. The possession of the
leadership skills is not always enough and the great leaders need to develop the skills with the
advancement of time. The leaders must influence the employees and a good leader uses the
influence skills to motivate the team members. For the employees, inspiration can bring huge
changes to get the best results. According to Antonakis and Day (2017), a good leader enhances
the impact of just empowering the employees and skills of the leadership can be improved
through self-help learning. A good leader must be adaptable to change and the leaders need to
have good vision. Leaders can communicate the regulations and policies to the employees so that
the employees can exercise right type of communication. The leaders must have the skills of
coordination and the leaders can maintain the integrity among the employees and departments.

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Discipline is the factor within the organisation which can change the productivity of the
organisation. In AFZ, the leaders lack the quality of influencing the employees, understand the
organisational plan, to focus on the action plan of the employees and to inspire the employees to
work better.
The leaders in AFZ need to develop certain qualities. AFZ can develop the following
abilities:
 To develop influential quality to impact positively on the organisation
 To understand the organisational plan and to track the measurable result
 To prioritise the action plans for the improvement
 To encourage and inspire employees
Position Team leader of a team
Developmental
objective
To develop the leadership skill to polish the competence and it will give the
result to improve the skills of each of the team members
Objectives Activities Learning style Cost Tome frame
To influence
others
Reading online
articles and
subscribe
Harvard
Business
Reviews
Theoretical N/A 2 weeks
To understand
the
Attend seminars
and doing
Theoretical and
auditory
Dirham 400 4 weeks

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organisational
plan and to track
the measurable
result
practical
exercise,
Admit to local
courses on
enterprise
training,
Doing meeting
with the
employees for
the strategic plan
To prioritise
action plans and
improvement
Keeping a daily
journal
Meeting the ‘to
do’ task list
Theoretical and
practical
N/A 4 weeks
To encourage
and inspire
employees
Reading
motivational and
self-help books
Reading articles
on motivation
Theoretical Dirham 100 2 weeks
Table 1: Development of leadership skills
(Source: Self-developed)

16DEVELOPING STRATEGIC MANAGEMENT AND LEADERSHIP SKILLS
4.2 Reporting on the usefulness of methods used to plan the development of leadership
skills
For the leaders, self-awareness is very important and leaders need to recognise their
potential strengths and weaknesses. According to Chen and Rybak (2017), leadership experience
is associated with the coaching, integrity and mentoring of the employees with significant
feedback and developmental actions. In the developmental plan of the leaders, the table can be
completed with the SMART concept. The SMART concept helps the development plan to
measure the development of the leaders. The method of SMART will help the leaders to find out
the achievement and measure the growth of the leadership development within the stipulated
time frame. The measurement of the leadership development plan can be based on the feedback
from the employees. AFZ can set mainly four types of feedback which are a reaction, learning,
behaviour and the result. The management of AFZ can start the KPI (Key Performance
Indicator) to make the leaders understand needed for link and dedication of the organisation.
Reading can boost the power of the brain of the leaders and reading can make the people
smart. The leaders are expected to read a lot from books, articles and online journals. Reading
plan of the leaders can improve the function of the memory. When the employees ask any query
to the leaders; the leaders need to be capable enough to understand these.
The leaders can attend short courses on communication, organisational development or
any recent technologies. These courses help the leaders to get familiar with the new terms and
the leaders can help the team members in need. This process will help the team leaders to
understand the needs of the employees which will, in turn, help the leaders to manage the needs
of the team members.

17DEVELOPING STRATEGIC MANAGEMENT AND LEADERSHIP SKILLS
The leaders are expected to keep a daily journal where they can keep the daily activities.
Writing the daily journal can keep the brain sharp and alert. Journal writing can also help to
reduce stress. Keeping the journal can also help to increase the focus on the employees and it
provides greater stability (Carter et al. 2016).
Self-help training of the leaders is a process of self-education which is aimed at
increasing the professional skills, quality of life and employability and talent of the leaders. The
leaders will become more self-aware of the fact and the leaders will have the direction through
the self-help training in AFZ.
Conclusion
It has been observed that strategic leadership of Ajman Free Zone is development
oriented and the organisational strategic management is goal oriented. Strategic management is
about the organised development of the organisation's resources of the key operational areas like
manufacturing, financing, technological, marketing and manpower. Leadership is also about
inspiring the employees to gain the demanding objectives and leadership is the art of getting the
work done by the influence of the leaders while management depends on analysis. Leaders
encourage strategic decision within the organisation so that the managers can make strategic
decisions independently. Management plans on the execution of the strategy while the leaders
control the human resources, coordinate with the employees and motivate them. It can be stated
that leaders can be born with the leadership traits and managerial technique is a game of
statistics. The leaders can follow different types of leadership which could have a certain
influence on the progress and working on the organisation. The leaders of AFZ can follow the

18DEVELOPING STRATEGIC MANAGEMENT AND LEADERSHIP SKILLS
bureaucracy, contingency and situational leadership theories in different situations of the
organisational development. However, transactional leadership theory is prescribed and
leadership styles of the leaders can be balanced to complete the vision of the organisation.
Leaders within the organisation provide the direction and purpose to improve the condition.

19DEVELOPING STRATEGIC MANAGEMENT AND LEADERSHIP SKILLS
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