Business Report: Leadership and Management in Global Contexts

Desklib offers solved assignments and past papers to help students succeed.

Business Report on Approaches to Leadership and
Management in a Global Context
Student Name:
Student I.D:
Author Note:

APPROACHES TO LEADERSHIP AND MANAGEMENT IN A GLOBAL CONTEXT
Executive Summary
The present article is mainly based on the important functional activities of the Bright star Financial
Limited Company. In the first, part of the article the different function and the hierarchy system of
the organization is discussed along with the significance of an effective communication system of the
company. However, in the second part, it portrays the present important drivers of globalization and
its impact on their business. Further, the last part explicit the comparison between the management
and the leadership style and it is proved that transformational leadership is the best suitable styles for
the company in order to globalize their business.
1

APPROACHES TO LEADERSHIP AND MANAGEMENT IN A GLOBAL CONTEXT
Table of Contents
Introduction.............................................................................................................................................3
Functional areas and management hierarchy..........................................................................................3
Communication in Management and leadership....................................................................................5
Globalization drivers and its impact.......................................................................................................6
Cost Drivers:.......................................................................................................................................6
Market Drivers:...................................................................................................................................6
Competitive Drivers:..........................................................................................................................6
Government Drivers:..........................................................................................................................7
Comparison of two leadership or management styles............................................................................7
Conclusion............................................................................................................................................10
Reference..............................................................................................................................................11
2

APPROACHES TO LEADERSHIP AND MANAGEMENT IN A GLOBAL CONTEXT
Introduction
The report will highlight the drivers of globalization and the importance of leadership in the Bright
star Financial Limited Company. It will also discuss the functional and operational activity that
regularly takes place with the organization along with their management hierarchy system. As a
financial company, it normally deals with lending loans and other financial services. Therefore, it
will elaborate on the key function of globalization and leadership with respect to enhancing the
productivity of the company and their business. Further, it will also compare the management style
with the leadership style to understand its efficiency that will help the company to accomplish their
company’s goals and objectives.
3

APPROACHES TO LEADERSHIP AND MANAGEMENT IN A GLOBAL CONTEXT
Functional areas and management hierarchy
The most important function of the Bright star Financial Limited is to deal with lending money to the
customers for a limited time, commercial or development financing and residential or other
mortgages, etc (MacKerron et al.2015). The company always strive to offer their target customers
every possible help by providing loans with less interest and with a long or short-term period.
 Lending loans: The Company always tries to provide its customers with the best financial
services and consultancy services. Bright star Financial Limited Company offers loans to
many big corporate firms as well as the individual public with fewer complexities and
difficulties.
 Bridge loans: They also grant an interim loan to their customers such as bridge loans through
which they can mitigate the current situational debt or commitments.
 Residential and other mortgage facilities: The Company also provides residential, second
charge mortgages to their clients. Residential mortgages are such type of loan, which has
been, provide through which the customers can buy a new home for them. It is generally
given for long term (Solaja, Idowu and James, 2016). On the other hand, the second charge
mortgage is kind of loan through which the borrowers can lend money from the company
against their own property as security.
 Commercial and development financing: Commercial loans are such type of loans, which
has been granted to various big firms or small-medium sized companies by the Bright star
Financial Limited Company so they can improve their business operations and activities. The
company also offers development financing to individual persons and to commercial
companies.
4

APPROACHES TO LEADERSHIP AND MANAGEMENT IN A GLOBAL CONTEXT
Figure: Management hierarchy of the Bright star Financial Limited Company
Source: (Ruben and Gigliotti, 2017).
Chief executing officer (CEO): Mr. Rob Jupp is the CEO and head of the Bright star financial
limited company. He is responsible for making all the important decisions of the company, which
will lead their company to reach the topmost position among the financial companies in the United
Kingdom. Under his leadership, all the operational activities and business actions are performed in
the organization.
Managing director (M.D): The managing director Mr. Bradley Moore is a member of the board of
directors and possesses the top management status in the company. He looks over the whole activities
and man force working in the organization. He also takes strategic decisions along with the CEO and
concludes how the decisions can influence their business in a positive way. He also acts as a
communicating medium among all the stakeholders of the Bright star financial limited company.
• Director of Commercial finance and Director: The main role of the finance director in the
company is to take all the financial decisions, oversee the accounting process and managing
all the financial activities that take place in the organization on daily basis. As a financial,
company Bright star have to be very strict and careful while lending money to the borrowers
5
Mr.RobJuppChiefExecutiveOfficerMr.BradleyMooreManagingDirectorMr.RobertCollinsDirectorofCommercialfinanceandDirectorMs.MichelleWestleyHeadofmarketing

APPROACHES TO LEADERSHIP AND MANAGEMENT IN A GLOBAL CONTEXT
and giving and financial consultancy advice to their target customers. Mr. Robert Collins is
responsible and one of the important people in the organization upon which the future of the
company is based on (Askoul, Khan and Lalitha, 2016). As a finance director, he always
makes every effort, which can bring benefit and positive prospect for the company through
which they can offer good financial services to their clients.
• Marketing head: The head of the marketing head in the company promote their company and
its services to their target customers. His job role is to present their company in an attracting
through which they can explain to their clients all the advantageous services to them. Mr.
Michelle Westley is the head of the marketing department of the Bright star financial limited
who deals with all the marketing activities of the company.
Communication in Management and leadership
Communication is one of the integral parts for every organization in order to integrate all the
members of the organization together (Sjölander-Lindqvist, Johansson and Sandström, 2015). The
communication system between the leaders and the managers is very essential to implement all the
strategic decisions in an effective way. The leaders are the one who is responsible for structuring
vision, goals, and rules of the company and the duty of the manager is to align those organizational
cultures with the workforce of the company. Both the leaders and the managers are the connected
part of the organization without one other one cannot be able to lead and control the allover
employees and their operational activities. In the company Bright, star financial limited The CEO and
managing director posses the top management level of the company hence there should be a very
good understanding between them and the managers (Brigham et al. 2016). The leaders need to
acquire all the qualities of an effective leader for leading the followers in an optimistic way and the
manager also need to do the same. A good communicator is very essential in order to enhance team
engagement, maintaining organizational rules and values. As a finance company, there is a need for
good communication medium, otherwise, it can negatively affect their business and productivity. A
good communication system among them will be beneficial in terms of presenting and explains the
vision, mission, and guidelines of the company to the overall workforce of the company. It nurtures
the workplace and makes the working environment more effective and advantageous through which
the company can achieve its goals and objectives.
6

APPROACHES TO LEADERSHIP AND MANAGEMENT IN A GLOBAL CONTEXT
Globalization drivers and its impact
A globalization driver contributes to aspects of change. The current drivers of globalization are cost
drivers, market drivers, competitive drivers and government drivers. Their impact on Bright Star
Financial Limited is discussed below:
Cost Drivers: The impact of cost drivers of globalization differs as per the point of fixed costs
needed to go through the company and the prospective for cost-effectiveness (Søndergaard, Oehmen
and Ahmed-Kristensen, 2016). The lower functioning cost for transportation and telecommunications
services go with an enhanced performance which serves to assist entry into international markets.
Cost drivers control the economic scale to execute the manufacturing, product development and
sourcing operation. However, these drivers might be less appropriate for services which are mainly
people based.
Market Drivers: These are the main drivers of globalization where various consumer services and
goods are now unanimously present, despite social setting or any geographical location. As big
corporate clients are themselves becoming international, they mostly try to simplify and standardize
the vendors for a vast range of business services. Nowadays, a related style can be spotted in among
some individuals processing techniques and services utilized by global business, who feel contented
with expected standards of presentation worldwide (Liu et al.2016). The market drivers can influence
the market share and achieve the stock target which will also improve the revenue of the company.
Competitive Drivers: These drivers consist of various factors like intellectual property, dynamic
product line, cost management, team collaboration, customer base and differentiation. They deal with
the other competitors present in the market and look after the long-term agreements, trademarks, and
copyrights and so on. They help the company to put more focus on providing variant services and
products rather than just focusing on one. Besides, they help in improving the manufacturing
methods, technology or new profit model, which results in cost reduction. This will automatically
boost the company to perform harder than other opponents to place their costs down. The competitive
drivers of globalization increase team partnership and amplify the leaders to inspire them in their
performances. It further helps to increase the customer base by offering a satisfactory product and
service. The company can include innovation or differentiation in their product line as well as
marketing strategies. Thus, with these factors, Bright Star can achieve competitive advantage (Bartke
et al. 2018).
7

APPROACHES TO LEADERSHIP AND MANAGEMENT IN A GLOBAL CONTEXT
Government Drivers: These drivers are more sympathetic to people and they use investment and
unrestrictive trade policies. Here, technical standards and general marketing regulations are used.
They look after the absence or presence of trade policies and regulations. The government drivers
affect every part of global policy and are thus essential in shaping the international competitive
market.
Comparison of Two Leadership or Management Styles
The leaders of different organization employ different leadership styles to run their business
effectively. The two styles of leadership used by Bright Star are transactional leadership and
transformational leadership style.
Transactional leadership Transformational leadership
Key factors
Concept
Transactional leader values structure and
order. This leadership is dependent on the
self-motivated individual who performs
better in a structured environment.
Transformational leaders try to
influence the staffs rather than
directing them (Banks et al. 2016). It
gives staffs autonomy over certain
jobs with that of power to make
important decisions after finishing
their training.
Style
The transactional leadership follows a
bureaucratic style under which work
security is mainly high, as the staffs are
expected to execute their tasks in a clear
method. The leaders perform better for
enhancing business productivity that is
based on their complex effort. They pull the
staffs towards a certain objective in an
encouraging way. These leaders do not play
favouritism, as every individual is equal for
them.
The transformation leadership pursue
charismatic style where the leaders
work towards increasing employee
commitment and loyalty. Their main
objective is to make workers feel
more talented and useful. Here, the
leaders are mainly visionaries who
have an innovative and big dream.
They perform towards making their
dreams come true.
8

APPROACHES TO LEADERSHIP AND MANAGEMENT IN A GLOBAL CONTEXT
Nature
The nature of these leaders is reactive. If
the environment of the organisation is good
then the leaders feel good and if it is bad
then their performance and attitude changes
(Deichmann and Stam, 2015).
The leaders are proactive in nature
as they carry their self environment
with them.
Motivational
tool
The transactional leaders attract people by
placing their self-interest at the primary
level. They do not focus more on others
thinking and values.
Transformational leaders stimulate
people by making group interest and
opinion as to the first concern.
Planning
and
execution
This style focuses more on planning and
implementation. The leaders follow the
same old methods and make planning as per
that.
This style promotes innovation in
their performances. They use new
and better ideas in every
organisational activity to make it
more attractive.
Team
engagement
Transactional leadership does not value
team engagement as their main motive is to
complete the task rather than uniting people
to work together. This leader does not even
collect feedback to know their performances
or results suitably.
Transformational leadership focuses
on team engagement more. The
leaders here are very energetic and
they try to build a good connection
among the employees. They believe
that by working together, the team
can achieve its goal perfectly and
within the allocated time.
From various observations and case studies, it is observed that the transformational leadership style is
more effective for the modern global organization as it supports innovation and teamwork in their
business (Hoch et al. 2018). This leadership style can help organizations to achieve their goal more
accurately and on less time. Further, customers will be attracted because of the better innovations in
their work.
9

APPROACHES TO LEADERSHIP AND MANAGEMENT IN A GLOBAL CONTEXT
Conclusion
Globalization has helped businesses to build connection and identify people choices in the
international market. The globalization drivers help companies to know the market conditions, their
structure, demand, cost and competition in the international market. Bright Star Financial Limited is
doing their business in the UK; if they wish to expand their business overseas then they can take the
help of globalization drivers. This project has helped us to identify the hierarchy of management and
functional areas of Bright Star. After, the discussion, it can be concluded that transformational
leadership is the most efficient style of leadership by which the company can grow its business in the
international market.
10

APPROACHES TO LEADERSHIP AND MANAGEMENT IN A GLOBAL CONTEXT
Reference
Askoul, R., Khan, H.U. and Lalitha, V.M., 2016. Cross-functional integration of marketing and
information services in banking: a cross-industry comparison. International Journal of Process
Management and Benchmarking, 6(1), pp.57-78.
Banks, G.C., McCauley, K.D., Gardner, W.L. and Guler, C.E., 2016. A meta-analytic review of
authentic and transformational leadership: A test for redundancy. The Leadership Quarterly, 27(4),
pp.634-652.
Bartke, S., Hagemann, N., Harries, N., Hauck, J. and Bardos, P., 2018. Market potential of
nanoremediation in Europe–Market drivers and interventions identified in a deliberative scenario
approach. Science of The Total Environment, 619, pp.1040-1048.
Brigham, E.F., Ehrhardt, M.C., Nason, R.R. and Gessaroli, J., 2016. Financial Managment: Theory
And Practice, Canadian Edition. Nelson Education.
Deichmann, D. and Stam, D., 2015. Leveraging transformational and transactional leadership to
cultivate the generation of organization-focused ideas. The Leadership Quarterly, 26(2), pp.204-219.
Hoch, J.E., Bommer, W.H., Dulebohn, J.H. and Wu, D., 2018. Do ethical, authentic, and servant
leadership explain variance above and beyond transformational leadership? A meta-analysis. Journal
of Management, 44(2), pp.501-529.
Kark, R., Van Dijk, D. and Vashdi, D.R., 2018. Motivated or Demotivated to Be Creative: The Role
of Self‐Regulatory Focus in Transformational and Transactional Leadership Processes. Applied
Psychology, 67(1), pp.186-224.
Liu, X., Jones, P.J., Matuzeviciute, G.M., Hunt, H.V., Lister, D.L., An, T., Przelomska, N., Kneale,
C.J., Zhao, Z. and Jones, M.K., 2019. From ecological opportunism to multi-cropping: Mapping food
globalisation in prehistory. Quaternary Science Reviews, 206, pp.21-28.
MacKerron, G., Kumar, M., Benedikt, A. and Kumar, V., 2015. Performance management of
suppliers in outsourcing project: case analysis from the financial services industry. Production
Planning & Control, 26(2), pp.150-165.
Ruben, B.D. and Gigliotti, R.A., 2017. Communication: Sine qua non of organizational leadership
theory and practice. International Journal of Business Communication, 54(1), pp.12-30.
11