Leadership & Management: Theories, Styles in Service Industries

This report delves into the critical aspects of leadership and management within service industries, using Hilton Hotels Corporation as a case study. It examines various classical and modern management theories, including scientific management principles, and their application in enhancing employee performance and resource utilization. The report further analyzes different leadership styles such as democratic, transformational, and laissez-faire, evaluating their effectiveness in the service sector. Internal and external environmental factors influencing management styles and organizational structure are discussed, along with the importance of soft and hard skills for current and future leaders. The report also explores change management systems and the role of leadership in driving successful organizational transformations within diverse service industry contexts, emphasizing the need for adaptability and strategic decision-making to maintain competitiveness.

LEADERSHIP AND
MANAGEMENT FOR SERVICE
INDUSTRIES

Contents
INTRODUCTION...........................................................................................................................3
LO 1.................................................................................................................................................3
P 1 Different and classical theories of management....................................................................3
P 2 Role of leaders and styles that are different for leadership in the service sector..................4
P 3 Styles of leadership and management...................................................................................5
LO 2.................................................................................................................................................6
P 4 environmental factors which influences the style of management and structure..................6
LO 3.................................................................................................................................................7
P 5 Hard skills and soft skills of current management and leadership........................................7
P 6 Future management and skills of leadership.........................................................................9
LO 4...............................................................................................................................................10
P 7 Different service industry, management of change systems and leadership in bringing
change........................................................................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Industries that are operating in service sector needs to comply with leadership and management
at high level so that they can work on the basis of trends in the market and match up with them.
In order to work with advanced approaches it is necessary to keep up with technological
advancements. Hilton Hotels Corporation, is an American chain of hotels that offers their
franchises to start up a venture and increase their revenue on the basis of royalty. It was started
by Conrad Hilton in May 1919, currently the company is led by Christopher J. Nassetta. This
report contains issues such as Different and classical theories of management. Role of leaders
and different styles of leadership in this sector. The styles of management and leadership.
Internal and external factors which influences the style of structure and management. Hard skills
and soft skills of current management and leadership. Future management and leadership skills
and Different service industry, management of change systems and leadership in bringing change
(Golensky and Hager, 2020).
LO 1
P 1 Different and classical theories of management
Science not rule of thumb-
Hilton prefers this aspect because they believe it helps them to improve the performance
of the employees. Many scientists have shifted to different methods and changes the whole
perception of the theory. This is the reason why all the other forces of market are analyzed so
that they can make a decision for their other hotels across the world. This way they try to
complete the work before deadline and take the optimum use of resources so that wastage is
minimized and monetary issues are reduced. For many different situations Hilton assesses the
factor of cause and effect with the help of this approach so that all the calculations are made
easily and level of risk is reduced (Cho, 2017).
Harmony, not Discord-
Employees of Hilton possess all the details and instructions of the code of Hilton and
what measures company follows in order to make sure that the flow of order is not disrupted.
This also helps them to manage employees and increase the level of coordination and decrease

the level of conflicts between them. This way they are able to achieve their expected results. they
have made every employee understood their role.
Mental Revolution-
The company follows aspects that are given by Taylor and the reason behind that is they
believe that with the help of guidelines provided by him they will be able to increase the revenue
of the company. Also through this aspect the employees of the company are able to work
together without the disruption of difference of opinion.
Cooperation, not Individualism-
This is considered as the extended version of the type of harmony, not discord. The
employees of the company has to serve on the basis of goodwill the company has made in the
market and maintain it. If they do not work on the basis of that then they will lose all the
customers (Araslı and Arıcı, 2019).
Development of individuals to their extent-
Hilton has a different approach and that is to provide rewards to employees and evaluate
them on the basis of their performance so that every employee works better in order to get better
rewards.
P 2 Role of leaders and styles that are different for leadership in the service sector
Democratic leadership-
Many companies states this form of leadership as effective and it is because it offers
autonomy to them through which employees are able to get some power to take decisions and
assess the factors that are useful for the stages of promotion. In most of the companies it is the
managers who take decisions but if they are using this form of leadership then even employees
have the power to do that.
Transformational leadership-
This form of leadership is considered as effective for the companies that are serving in
the field of hospitality. It is believed that with the help of this leadership they will be able to

make changes and serve as per the needs and wants of the customer. It is important that they
continue to motivate the members of the team if they want to achieve goals. They work
effectively so that by any chance deadline of the company is not affected. It is necessary that the
employees of the company are guided to the path which is right (Angulo, 2018).
Laissez Faire Leadership-
There is approach behind this method and that is there is restriction which does not let the
leaders of the company interfere. This form of leadership works on trust and they work on the
responsibilities that are given to them and for that decisions are taken by them as they have the
autonomy. Load of work is not too much in this form of leadership because they do not have to
deal with deadline. One downside of this form is that development of employees are limited.
This makes it important for the leaders of Hilton as they need to monitor their performance
consistently.
P 3 Styles of leadership and management
Leadership Styles-
Strategic Leadership-
This theory helps the leaders to make the path of opportunity clear so that operations can
be maintained and any path to opportunities can be claimed through which they can increase
their share in the market. Also it involves interference made by leaders for the task which is
specific. They work on a belief that if load of work is taken off employees they will not take
stress for it and focus in a better way. This is why they have a thought process that states that
they support them so that no factor disrupts the flow of work. But it puts the load on managers
which raises the issues which makes it difficult for them to work for other areas (Thorpe, 2016).
Management Styles-
Management of Employees-
This is considered as important factors through which the company is able to reach
success in the market. They take the use of strategies that are right so that they can retain them
for a long period of time. With the help of this they are able to get the insight about the

performance of their employees. This will make things easy for HR of the company as
candidates will come to apply on their own because they are aware of the job security that is
provided by the company which makes them feel safe. They even decline the offer that is offered
by the competitors.
Paternalistic Style-
This aspect refers to the situation of leaders and employees of Hilton. It states that leaders
of the company look after their employees in a way that is parental. This helps to fulfill the needs
and wants of their employees and all the decisions for them are taken by the leaders of the
company. But it makes the employees of the company dependent on them and this limits the
growth of their performance. With this they are even relied for making decisions on the leaders.
This way they won’t be preferred by any other company.
Persuasive Style-
This theory helps to maintain the level of trust higher. This aspect works on a approach
that states that all the decisions are taken by the managers of the company and they make ensure
that every employee have the details about the area they have to cover and whichever is in the
best interest so that they can have the trust of employees (Anser and et.al., 2020).
LO 2
P 4 environmental factors which influences the style of management and structure
Internal Factors-
Internal Relationship-
It is necessary that Hilton puts more effort in maintaining the relationship with the
stakeholders of the company as there are many reasons to that. For instance it will help them to
get more customers to serve. It is necessary that employees work up to their potential as it will
reflect the characteristics of success of the company in the market. This is one of the reasons why
leaders of the company see this as a mandatory part. It also helps to share the ideas that are
innovative and can be easily implemented.

Commitment of employees-
In order to make the employees of the company committed to them it is important that
they trust them and interact with them on a consistent basis. This will help them to know that
they achieve success. With the help of this strategy the company has been able to improve their
level of employee retention and through that both of them has been able to gain the benefit. This
also improves the process of recruitment easier for the company.
External Factors-
Globalization and enhancing the capabilities on a global level-
Not everyone can work on the same approach because different individual has a different
approach. That is in the case of leaders and managers of the company even their approach is
different. This states that both managers and leaders will have difference of opinion.
Globalization helps the company to increase the scale of operations and reaching the company to
different base of customers in different countries. This helps the company to link their base of
operations with other countries so that they can meet with the expected level of expansion.
Managers of the company analyze the needs and wants of people in different countries. This
helps them to make strategies for different countries and work on making the culture diversified
(Wirtz and Jerger, 2016).
LO 3
P 5 Hard skills and soft skills of current management and leadership
Soft Skills-
Communication-
Hilton has employees that possess the required skills for the job which helps them to
bring change in the perception of customers by using their tone in an soothing manner through
which they are able to influence their mind. There is a code which is needed to be followed and
that is mandatory for everyone. This is what maintains the ethical code of conduct of the
company. This develops or forms a feeling in the minds of customers that helps them to make

sure that the services they are getting are fair and ethical. It also helps to reduce the level of
complexity in work (Wasono and Furinto, 2018).
Responsibility-
It is the managers of Hilton who works for the attainment of goal on time and makes sure
that there is no failure in work. They are known to be efficient and there is a reason behind that is
the years they have spent in the line of work has helped them to gain the experience. Whenever a
mistake has been committed by them instead of working on defense they accept it in front of
their team and help and they do not dwell on that instead they work in collaboration to find the
solution to that mistake. They believe that this will help them to pass their ethics to other
employees so that they do not commit any unfair trade practices in the work.
Hard Skills-
Mathematics and Skills of Numeracy-
These skills are complied with the department of HR as they are the ones who recruits
and selects the eligible employees that helps them to achieve growth. This department has to
look after all the other departments such as finance, IT, production, Marketing etc. different
managers are hired by Hilton so that nothing disrupts the flow of these departments and they are
able to perform efficiently (Suharjana, Purwoko and Umar, 2020).
Other languages-
This is important in the line of hospitality sector because the employees of the company
has to deal with tourists that come from different countries and in order to cope up with that
measure and to make them feel comfortable it is necessary that they hire those employees who
can keep up with this factor. It is important because being a big chain of hotels Hilton has to
deliver quality service to their full extent so that they can meet the level of satisfaction of
customers and they remain in business with them. Also with this there will be no confusions as
all the packages and services offered by them will be clearly understood to them with the fixed
terms and conditions.

P 6 Future management and skills of leadership
Future Management Skills-
Planning related to the dynamics of the environment-
Managers of Hilton assess the situation and focus on the importance of task as they are
aware of the team and its dynamics. They believe in working on individual basis and do not
divide the work between each other because they do not want to affect the quality of work and
affect the probability of success. It is necessary that the things that employees have learned in the
program of training must be implemented. This will help them to work with resources in an
optimal manner which will reduce the wastage.
Making Decisions-
For the recruitment of managers Hilton has the responsibility of making decisions on the
basis of their skills. This is because it is the entity that makes the decision for every aspect in the
company. They monitor the performance of everyone so that they can make sure that everyone is
completing the task on time. Apart from this they also look after the actions that are necessary to
be taken for the protocol of discipline so that work is taken seriously.
Future leadership skills-
Motivation-
It is the responsibility of leaders of Hilton to make sure to keep the employees of the
company motivated. This boosts their morale and they work up to their potential. There are
different ways to keep them motivated. Many of them are motivated on the basis of reward that
is given to them on the basis of their performance such as bonus, incentive or increment in
paychecks. Other than this they can appraise them in front of everyone or they can make them
employee of the month. These activities will make sure that they keep their performance up to
the mark so that they keep getting these rewards (Yeşiltaş and Tuna, 2018).
Management of Relationship-
Hilton complies with the activities that help them to look after the aspects of customer
relationship management. The managers of the company assess that skills with the employees are

proper so that they can target and convince the customer in order to get the benefit from them.
More the interaction is done more the relationship will be stronger between both the company
and the customer. It is important that they make changes in the area of the procedure where they
are not performing so that they can choose from the option of other alternatives.
LO 4
P 7 Different service industry, management of change systems and leadership in bringing change
Basis Hilton Hyatt
System of change
management
The model of change which is
taken by Hilton is the model given
by Kotler which includes 8 steps in
it. Through this model they will be
able to remove the obstacles,
handle the task and monitoring it so
that it can be completed in time. to
show them the way so that they
work on the basis of vision of the
company and improve their
performance with each project. The
goals that are made by them are
short term, they also need to focus
on the area of communication as it
helps to look after the change. The
changes that are made will be made
step by step. Also with the help of
autonomy they will be able to take
their own decisions. This way
leaders are not allowed to make an
interference.
Model implemented for change by
Hyatt is different it was given by
ADKAR. They make it more flexible
and form it on the basis of their
operations. With the help of this
model they were able to make
changes. Other than that complexity
and efficiency of task will be
decreased. They will be able to take it
out to bring when they need to
implement the change on the basis of
situation. Hyatt has forcefully
implemented the change. In order to
make this decision effective the
company has conducted SWOT
analysis so that all the weakness can
be taken out (FHKPS, 2018).
Leadership Style The style of leadership chosen by Democratic style of leader is

the company is transformational
style and it is because they believe
that they will be able to keep up
with the trends that changes with
time through this aspect. They
believe this way they will gain
advantage over the competitors and
they will be able to increase their
share in the market (Hassi, 2019).
implemented by Hyatt and it is
because this style has never failed the
company and the chances of
achieving their success are more if it
is compared against other forms of
leadership. They trusts their
employees and make them in charge
of work when they are not around.
CONCLUSION
From the above studies it has been concluded that leaders and managers of Hyatt needs to
analyze the forces of market before making a major decision of the company due to the aspect of
globalization as it has increased the level of competition in the market which can affect the
business of the company. The change management model implemented by Hilton is given by
Kotler which has 8 steps and that can help to bring change in many areas that are necessary for
the company. It is important that they hire employees that are skilled so that they can cope up
with the changing needs of environment in the market and gain advantage over their competitors.
This way they will be able to serve more no of people and increase the share in the market.

REFERENCES
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management for incumbent telecommunication company in the digital disruptive
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Thorpe, R., 2016. Gower handbook of leadership and management development. CRC Press.
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