Organizational Behavior: Leadership Styles and Management Approaches

This essay discusses different approaches to management and leadership, highlighting the differences between them and their impact on organizational behavior. It explores classical and human relations approaches to management, as well as consultative and democratic leadership styles. The e...Read More

TASK 2
Organization and Behaviour

Approaches to management and leadership
Leadership refers to the skills within an individual to influence other individuals or
groups towards the attainment of objectives.
Management refers to integration of functions such as planning, organizing and
controlling of business resources to attain the goals of company.
Leadership and management go simultaneously and both assist in motivating and
inspiring people.
Difference between leadership and management
Management Leadership
Doing things in right manner Doing the right things only
It help in managing people It assist in inspiring people
It help in decision making of
organization It facilitate in decision making of
company
The main role of management is to
help in coping with complexities The major role of management is to
assist in coping with changes.
The management is task oriented
therefore, its main focus is on
organizations operation and
structures.
The leadership is people oriented
therefore, its main focus is on
culture, behavior and values of
individual.

Approaches of management
Approaches of management
Classical approach: According to this approach, the management believes that the workforce possess economical and
physiological needs and the other needs like social and job satisfaction needs does not hold much importance for
worker. The main consideration of this approach is to enhance the efficiency and skills of workforce. Therefore, it
further leads to increasing the productivity of staff members and therefore enhance the profitability of company. For
this aspect, training and development is provided to workforce.
Trends in classical approach: As per the current scenario, the organizations are shifting their focus from human
resources to technology. Therefore, to enhance the productivity the companies are using improved technology,
machines etc. For this aspect, company focus more on using more machines and less emphasis is paid on human
resources. Therefore, lack of training and development opportunities are provided to workforce which leads to
dissatisfaction among them.

Human relation approach: According to this approach, the main focus of management is on understanding the
behavior of humans within the organization. This aspect further help in understanding the needs of human resources
and taking effective steps to fulfill those needs. Thereafter, it ensures strong communication, leadership and
motivation from management to organizational members. In addition to this aspect, it leads to increased efficiency and
productivity of employees.
Trends in human relation approach: The positive changes has been witnessed in human relation approach. The main
consideration of management is to enhance the interpersonal ability within workforce in all type of work setting.
Nowadays, management provide job security, healthy work environment, grievance redressal facility etc.

Approaches of management
Styles of leadership
Consultative: In this type of leadership style the important decisions of organization are taken by leader after
consulting employees. Therefore, employees are allowed to give their ideas, opinions and share their
experiences to facilitate decision making. However, the final decision making power lies with leader. This
increases the creative thinking ability within members.
Democratic: In this type of leadership style the decision making power is decentralized by leader which means
decisions can be taken by employees. This leads to higher motivation among employees as they participate in
decision making process. Therefore, it improves the job performance and satisfaction of employees.

Trends in leadership: In current scenario, the autocratic leadership style is not effective. In this style the leader
use to take all the decisions without consulting other members. However, it resulted into dissatisfaction among
members therefore, democratic style is used these days. The decision making power is given to employees
which boost there morale. This also inculcate the sense of belonging among members as they feel their
opinions matters in company.
The leadership help in motivating employee to perform better and attain the organizational goals. The
democratic leadership style facilitate participation of members in decision making process which enhance the
motivation level among members. This further help in retaining the competent employees within the
organization.

Discussing the leadership style and other factors, their
influence on individual behavior
The leadership help in motivating employee to perform better and
attain the organizational goals. Broadly there are three kinds of
leadership style, autocratic, democratic and laissez faire. The
democratic leadership style facilitate participation of members in
decision making process which enhance the motivation level
among members. This further help in retaining the competent
employees within the organization.

Continued..
On the contrary, in autocratic style, all the major decisions are taken
by leader without consultation of organizational members. This
further inculcates low morale and confidence among members.
Thereafter, it hampers creative thinking of employee and they
tend to perform below than their competence. Furthermore, in
laissez faire style, employees are given sole right to make
independent decisions. With this style, specialization among
workforce can be ensured. Thereafter, satisfaction level among
individual is maximum as they feel pride while working.
Therefore, they perform beyond their potential and give their best
performance.

Different ways of using motivational
theories
In order to implement the motivational theory within
the organization, manager can take help of
leadership, organization culture, structure etc.

Trends in leadership: In current scenario, the autocratic leadership style is not effective. In this style the leader
use to take all the decisions without consulting other members. However, it resulted into dissatisfaction among
members therefore, democratic style is used these days. The decision making power is given to employees
which boost there morale. This also inculcate the sense of belonging among members as they feel their
opinions matters in company.
The leadership help in motivating employee to perform better and attain the organizational goals. The
democratic leadership style facilitate participation of members in decision making process which enhance the
motivation level among members. This further help in retaining the competent employees within the
organization.

Difference between Maslow and Hetzberg theory
Maslow theory Herzberg theory
According to this theory, the
different needs of human beings are
arranged in hierarchical order and
fulfillment of those needs leads to
satisfaction among employees.
This theory involves two factors; hygiene and motivating.
Here, hygiene factors represents factors whose non
availabilty cause dissatisfaction among employees.
Thereafter, motivating factors help in motivating
employees.
This theory is more descriptive in
nature. This theory is prescriptive in nature.
According to this theory less
satisfied need act as motivating
factor.
As per this theory, only motivational factors help in
motivating employees.
It is mostly used in organizations. It is less used as compared to Maslow theory.
The needs are arranged in
hierarchical order. There is no fix order of arranging the factors.

Being the manager of CMI consultant, I use these theories to reduce the employee turnover rate.
The ability to effectively implement the Maslow theory helps me in guiding and stimulating
individuals within company to achieve organizational goals. As the consultant of CMI I can use these
theories to motivate the employees and retain them within the organization. Therefore, I can identify
the unsatisfied needs of employees and take effective steps to fulfill them. At present I am using
Maslow theory to motivate employees. Therefore, the I have to arrange the needs of employees in
hierarchical order. Therefore, the physiological needs of new employee should be fulfilled first. It
involves, providing stable employment and salary to fulfill physiological needs. Thereafter, physical,
job and economic safety should be provided to employee. Likewise, social, self-esteemed and self-
actualization needs should be fulfilled. In this this respect, employee should get friendly
environment, responsibility, recognition and personal growth.

Employee empowerment: In this aspect, employee is given authority to make
important decision regarding business operations. The employees can share their ideas,
knowledge and opinions on several matters. This help in building sense of honor over
their work. This further help in implementing change as employees easily accept
challenges, new technology etc. therefore, empowered employee is capable to make
sound decision without consulting manager. For instance, if an employee within CMI is
empowered to take business decisions than he can be prepared to be future manager.

Employee engagement: This approach is used in organization to enhance the feeling of
sense of belonging within company. In addition to this aspect, relationship is developed
between employee and organization. The engaged employee is one who is passionate
about its work, and love working within CMI. Thereafter, engaged employee take
positive steps to maintain the organization's goodwill and interests. For instance, an
engaged employee will take up new challenges and will try to work in creative manner
this will help CMI to provide unique and innovative services to customers.

REFERENCES
Hill, C. W. and Jain, A. K., 2007. International business: Competing in the global marketplace. New York, NY: McGraw-Hill/Irwin.
Chase, R. B., Aquilano, N. J. and Jacobs, F. R., 2001. Operations management for competitive advantage. Irwin/McGraw-Hill.
Motivational theories. 2014.[Online]. Available through:<http://www.businessballs.com/maslow.htm> [Accessed on 28th November 2015].
Leadership approaches. 2015. [Online]. Available through:<http://www.yourarticlelibrary.com/organization/major-approaches-to-
organisational-theory-classical-and> [Accessed on 28th November 2015].