Approaches to Leadership and Management in Business

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Business Report- Approaches to Leadership and Management
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Executive Summary
The assignment aims to centralize the approaches in leadership and management. All the
functional areas and the hierarchy level in management are discussed. In addition, the context
explains the importance of communication in aspects of leadership and management. Moreover,
the drives of globalization and two different styles of leadership are evaluated in the below
context.
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Table of Content
Introduction......................................................................................................................................3
2. Functional areas and Hierarchy of Management.........................................................................4
3. Communication in leadership and management..........................................................................7
4. Drives of globalisation.................................................................................................................8
5. Difference between the styles of leadership................................................................................9
Conclusion.....................................................................................................................................11
References......................................................................................................................................12
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Introduction
The study aims to discuss the approaches of leadership and management in relation to the global
context. The increasing globally and multicultural connected business nature, organization and
management are the points that provide certain opportunities to reflect the practices and develop
several leading and managing approaches in different regional and national setting. Thus, the
topic offers cross-national perspective on management and leadership that enables to take certain
risk and challenges in order to operate successful business operations and smooth functioning.
The topic reflects and addresses certain issues that can be sorted by the effective leadership and
management approaches in global context and supports in developing of skills, knowledge and
competencies to thrive irrespective to gain success, expand business and any other relevant
targets in business approaches. The assignment analyzed certain management functions and
hierarchy level of management irrespective to LMA Recruitment, the medium sized company
that has it’s headquartered in London and the number of employees that are appointed are more
than 50 but less than 250.
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2. Functional areas and Hierarchy of Management
There are several functions that are performed by management department of LMA Recruitment
in order to gain its objective of the business (Zhou, 2016). Some of the functions areas that are
performed by the leaders and management department of the respective company are discussed
below:
Management Management is one of the crucial functions that are performed by every
organization to check whether all the other functions of the organizations
are operating in the effective and appropriate manner. However, in LMA
Recruitment the management department evaluate all factors such as
planning, organizing, controlling and leading (Laudon and Laudon,
2016).
Operation In LMA Recruitment the operation process is managed by the most
experienced members who perform the entire functions of recruitment.
The leaders are highly skilled that determines the adequate field in which
the process of recruitment is required to be enacted (Zhu, 2015). Thus,
this function is mandatory to be performed in effective and quality
manner that fulfils the demands of the customer in the market effective
and quality manner so that demands of the customer are fulfilled.
Operational management are appointed that seek all the regular
productivity process
Marketing The marketing department of LMA Recruitment has adopted several
ways to promote their services that they are offering in the market of
recruitment. The company posted their reviews in pamphlets,
advertisement through media and television has been enacted to reach
majority of the potential customers and many other methods. Moreover,
marketing leads to establish the name of the brand name of the company
in the market making customers aware of the business unit (Baker,
2016).
Accountin
g
In LMA Recruitment the account department maintain the records of all
the activities and resources that are applied at the time of production and
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marketing of the products. In addition, it helps the management
department to allocate the available resources at the best possible manner
for the effective performance of all the factors of performance. The
financial statement that is prepared by the accounting department of the
company provides all the necessary details on the company finance and
its position in the market (Kaplan and Atkinson, 2015). Moreover, the
managerial accountant is the persons that analysis all the calculations
related to the cost, budget, performance appraisal as well as allocations
of assets.
Finance The finance department in LMA Recruitment performs managing,
obtaining and planning company’s funds. The financial department of
the company deals will all the facts that arise at the time of short and
long term financial capitals. All the finance related issues are solved by
financial department of the company as they determine all the records in
relation to the funds and loans for the operation of the company.
Table 1: Function Areas
(Source: Created by Author)
Figure 1: Functional Areas
(Source: Created by Author)
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Hierarchy management
Hierarchy is essential as it helps to draft the overall performance of the entire workforce that are
evaluated irrespective to the company strategies as well as the plan of action that are enacted to
reach the goal of the organization (Robertson, 2015). The hierarchy of management that are
determined at LMA Recruitment are as followed
Figure 2: Hierarchy Management
(Source: Robertson, 2015)
There are respectively three stages in the hierarchy management that are:
● Top management
In LMA Recruitment the top management position is occupied by chairman, chief executive
officer, vice president and board of directors. All the positions are stated at the high and
executive level of management that oversees all the functions and operations of the business unit
(Wheelen et al., 2017). In this hierarchy level the chairman is considered at the top most
authority that is in charge to the major function of the business.
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● Management at middle level
However, in LMA Recruitment the general manager and regional manager of the organization
are considering for the level of hierarchy. In this level of hierarchy, the general manager are at
the top position and is the charge of all the top tier officers. All the functions related to the
marketing and sales, recruitment and selection, client relation as well as the team management
are under the authority of the general manager (Li, 2018). On the other hand, the regional
manager is the person that handles the responsibility of the other regional business operation of
the organization.
● Management at first line
There are three levels under this hierarchy management in LMA Recruitment that instance
supervisor, office manager and team leader. The highest rank in this level is of supervisor as it
enacts as effective communicator in between the employees of the first line and middle
management of the organization in the hierarchy level of management. Moreover, they are
appointed to supervise the intrinsic aspects of projects. On the other hand, the managers of the
company that coordinate the overall performance of the employees. The team leaders are
responsible to determine the effective outcome from the employees.
3. Communication in leadership and management
● In LMA Recruitment communications plays a crucial role in the management as all
operations of the organization is to select the suitable candidates by recruitment process
for their client. Communications helps to identify the clear image of the business and its
mission to its employees in an adequate manner. Moreover, it helps to improve the
performance of the productivity that enables to gain the objective of the business. It has
been observed that the leadership that practices effective communication methods in the
organization are able to gain the successful position in the market.
● The leaders and management system in LMA Recruitment develop the ethical
communication system in the working environment which leads to raise the level of job
satisfaction enhance by as they feel free to discuss their conflict with the management
and leaders. Moreover, the effective communication that is maintained in LMA
Recruitment between the employees and leaders determines smooth functioning (Bird
and Mendenhall, 2016).
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● The communication also helped LMA Recruitment to create a positive effect on the
turnover rate and absenteeism. However, the scale of communication between the
leaders, management and their staffs bridge the gap that arises due to the level of
position. The employees get motivated and enthusiastic when observed that their leaders
are looking toward their issues and conflicts.
Effective interdepartmental communication
The effectiveness of the interdepartmental communication in an organization ensures that the
entire department are following the common objective as per decided by the organization at the
time of commencement. Without the establishment of the effective interdepartmental
communication the organization will lack in motivation and the trust issues will arise.
4. Drives of globalisation
There are four crucial areas that drive of globalization in LMA Recruitment that instance
government, competition, market and cost. All the respected drives affect the main functions and
operation that helped the respected company to establish the globalisation across the industries.
The market drives consider the common needs of the customers as well as transferable
marketing, thus this helped the company to determine what the basic vacancy for the recruitment
are and what are the demands of the clients. However, the influence of government serves as a
crucial drive with different policies that leads to reduce the barriers that arises while trading
while shifting it to the economy of open market (Baylis et al., 2017). However, LMA
Recruitment follows all polices and laws that are established by the government in order to
eliminate any sort of penalties. The company face less cost while performing the task of
recruitment for their client. Thus, access to the human capital and new market leads to effective
cost advantage drives in which the company are gains the new economics irrespective to scale.
On the other hand, the ratio of competitors in the recruitment and service providing market is
comparatively minimal due to which the company enjoys these drivers in the service providing
market.
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5. Difference between the styles of leadership
Basis for comparison Autocratic leadership Democratic leadership
Meaning Autocratic leadership is the
leadership style that
establishes a line of the
demarcation that exists in
between the follower and
their leader and where all the
decisions are taken solely by
the leaders (Iqbal et al.,
2015).
On the other hand, the
democratic leadership is the
style of leadership that eludes
certain types of leadership in
which leaders of the
organization shares their
power of decision making as
well as other responsibilities
with its other group members
(Smolović Jones et al., 2016).
Orientation behaviour The autocratic leadership are
very task oriented that focuses
on the operations and the
smooth functioning of the
productivity process.
On the other side, the
democratic leadership are
very relation oriented as they
are more focused on
maintaining the effective
ethical environment in
working area.
Control The respective style of
leadership ensures a high
level of control.
The democratic style the level
of control is relatively low in
compare to the autocratic
leadership style.
Suitability The level of sustainability is
accurate when the staffs are
unskilled, obedient and
uneducated
This style of leadership is
appropriate when the entire
team members are highly
skilled, educated,
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professional, qualified and
experienced.
Authority The authority of the leaders is
centralized in this concept.
On the other hand, the
authority is decentralized
compared to the autocratic
leadership.
Conceived The style is conceived from
the Theory X
The style is conceived from
the Theory Y
Table 1: Difference between the leadership styles
(Source: Created by Author)
As per the given scenario the referred company is the medium size company that is LMA
Recruitment. The number of employees in the company is more than 50 but less than 250, thus
the company is required to follow the Democratic leadership style in order to determine the
operation of the organization in order to achieve main objective of the business. As per the above
mentioned that shows the difference between two styles of leadership in which the most suitable
style is democratic leadership as it is relation orientated. This style will enable to motivate the
employees in the most appropriate manner and enthusiasm that will improve the level of
productivity in an organization. Moreover, this kind of leadership served to be very systematic
and authentic in management process. Any conflict that arises at the time of operation are solved
as the leaders and management department maintain the ethical working environment.
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