Leadership and Management Theories: Application and Impact Analysis

This report provides an in-depth analysis of leadership and management theories, exploring their application in the workplace and their impact on organizational effectiveness. It examines various leadership styles, including democratic, transformational, situational, and transactional leadership, and compares different management theories such as scientific, administrative, bureaucratic, human relations, systems, and contingency management. The report uses organizational examples, including TESCO, Sainsbury, and Hewlett Packard, to illustrate the practical application of these theories and evaluates their influence on organizational performance and culture. The analysis covers both the benefits and challenges of implementing different leadership and management approaches, highlighting the importance of adapting strategies to specific organizational contexts to achieve optimal results. Desklib offers a wealth of similar resources for students seeking to deepen their understanding of leadership and management principles.

Leadership And
Management
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Table of Content
INTRODUCTION………………………………………………………………………………3
MAIN BODY
Conduct research into management and leadership theories and their application into the work
place for analyzing the effectiveness of management and leadership in the given
organization………………………………………………………………………………………..3
Compare through organizational examples in order to compare different styles of management
and leadership approaches which has been taken for range of business situation and in which
manner they impact the
decision……………………………………………………………………………………………8
Evaluate different management and leadership approaches take to evaluate the effectiveness and
impact that the role of management and leadership has on the organizational performance and
culture…………………………………………………...
……………………………………….10CONLUSION…………………………………………
…………………………………………13
REFERENCES………………………………………………………………………………….14
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INTRODUCTION
Leadership refers to the ability of group of individuals or an individual for other membes
or guide followers of an organisation. It also involves certain decisions, creating a clear vision
and articulating, goals which are available and provides followers with knowledge and tools
important to achieve those goals. TESCO is taken into consideration in the present
report(Farrell., 2018). It is a multinational British merchandise retailer that is headquartered in
Welwyn Garden City, England. The report basiccally consist of maangemet and leadership
theories and also about effectiveness impact of an organisation. The report also consist of
dissimilar theories into context of management activities in dissimilar organisation. The report
will cover discussion about dissimilar management and leadership styles according to application
into business range of situations.The report will cover analysis about factors which influence the
growth of culture in the company.
MAIN BODY
Conduct research into management and leadership theories and their application into the work
place for analyzing the effectiveness of management and leadership in the given organisation
There are dissimilar theories of leadership into the context of management activities
which is defined into following manner for different organizations. To work into effective
manner at the organizational level there is requirement of hard and soft skills as well.
Hard skills: These are the skills which are learned abilities that are acquired and enhanced by
repetition, practice and education as well. Hard skills are important because they basically
increases the productivity of employees and efficiency as well and also subsequently improves
the satisfaction level of job as well. There are certain examples of hard skills which include
technical skills, computer skills, Microsoft office skills, analytical, marketing skills, presentation
skills, management skills and project management skills as well.
Soft Skills: These are the skills which personally refers towards the personal attributes which
enable someone to interact into effective manner and harmoniously with other people as well.
Soft skills basically include communication skills, interpersonal skills time management,
listening skills and empathy as well.
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Both the kind of skills has their own importance at the organizational level and without support
system of both kinds of skills it is very difficult to achieve organizational goals and objectives as
well.
 Leadership in democratic style: Democratic style of leadership is also known as the
shared or participative leadership. It is that kind of style of leadership where team
members also takes participation into decision-making process. It is that type of
leadership which have the implementation to any kind of organisation from business at
private level to the government (Harris and Jones., 2019). In context to TESCO company,
the company has implemented leadershipof democratic style where voice of employees
have been heard during the process of decision-making. This is a kind of leadership
which gives motivation to their employees due to which organization is able to provide
best services to their customers.
 Transformational leadership theory: It is the theory which is also known as the
theories of relationship which have focus on the relationship between leaders and
followers. Transformational theory basically explains about the leader who is very
inspirational and charismatic as well that inspires their followers in order to become
better and transform at a task. These kind of leaders basically inspired through the ability
in order show that their followers about their importance of task and the higher goods
involved in performing it. Sainsbury is a company which uses transformational leadership
theory when they initiate for any kind of big change at the organizational level.
 Situational leadership theory: This is a kind of theory of leadership which stresses upon
the importance of variables of situation and also don’t have consideration for style of
leadership to be better than others (Lárusdóttir and Connor., 2017). This is a theory which
is basically the combination of two factors which includes the maturity levels of
followers and leadership style. It has been observed at the organizational level that
different situations demand different leadership styles and decision-making as well.
 Transactional leadership theory: It is a theory which is also known as the exchange
leadership or management theories which basically more focused on the supervision,
teamwork and organization(Seven Major leadership theories every manager should
master in twenty twenty two). These are the theories which considers punishments and
rewards as the actions of leadership as the basis. It is a very commonly used theory of
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business and the proponents of leadership style uses rewards and punishments to inspire
employees. This is a kind of leadership which is majorly used by large corporations like
Hewlett Packard which is an organization for large scale use of management through
exception.
 Behavioral theory of leadership: This is a kind of theory which has major emphasis
shifts from traits or qualities of leaders to their behaviors and actions as well. This is a
theory which have the consideration into leadership of effective form as the result of
many learned or acquired skills (Pawar and et.al., 2020). Through leadership theory, a
person has the ability to become a great leader as well. It is that kind of leadership theory
which has been implemented by many kinds of companies such as IBM, Pepsi, Nestle,
Coca Cola etc.
 Theory of contingency: Contingency theory explains that there is no single style or way
of leadership which can be implied to all kinds of conditions. It has been recognized that
there are variables which influences any kind of specific condition and the leader has to
choose action into right manner which takes into account those variables. Effective
leadership is that which strikes about proper balance into between context, behavior and
needs as well. It has been observed that best leaders does not have always the right traits
but also have the ability to assess the requirements of their followers, act and analyze the
situation accordingly.
These are the different kinds of leadership theories into context of management activities which
has been used by different kinds of organizations. So different leadership theories plays a very
significant role in terms of achieving goals and objectives of an organization.
There are different theories of management in relation to the management and leadership
activities in different organization which is defined into the following manner:
 Scientific management theory: It is a theory which synthesizes and analyses the work
flows as well. The main objective is to improve efficiency at economic level, specially
for labor productivity (Shenhar., 2015). It was one of the earliest attempts to apply
science to the process of engineering to management. There are different type of
companies who uses scientific management theory which includes Amazon, McDonalds
and FedEx as well who uses new version of scientific management theory.
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 Administrative management theory: It is a theory which is developed by Henri Fayol
where he believed that there are six main functions of leaders which include to forecast,
coordinate, plan, strategise, control and command as well and also develop certain
principles that in which manner leaders should interact and organize with their teams.
The principles which are outlined are related to certain aspects which include equity,
initiative, scalar chain, remuneration of personnel, unity of direction, division of work,
authority and responsibility as well.
 Bureaucratic management theory: This is a theory which focuses on structuring of an
organization in a hierarchy so that there are clear rules of governance as well. This
system of principles has been created which includes clear division of labor, chain of
command , separation of organizational and personnel assets of the owner, strict and
consistent rules and regulations and the promotion of employees on the basis of their
qualification and performance(Antoniou and Lu., 2018). This theory plays a significant
role in terms of stablishing standards and procedures which are at the core of many
organization into today’s period of time. It has been observed that majorly motor
vehicles, health maintenance and financial lending organization uses this particular kind
of theory.
 Human relation theory: It is a theory which is designed to improve productivity which
laid the foundation for human relation movement. Their focus is on the conditions which
are changing continuously like break times, lighting and length of work day. Employees
feel motivated through personal attention and also being part of the group than they are
through working conditions or money(Sarkar., 2016). In context to HR solutions
company, they have used human relation theory so that they can properly maintain
positive relationship among employees at the organizational level.
 Systems management theory: This theory basically states that businesses are mostly
consist of different components which must work in harmony for the larger system in
order to function into optimal manner. There are certain factors on which organization
success has depend which includes synergy, interrelation between systems and
interdependence as well. With reference to this theory, employees are very important
component of an organization, departments, work groups and business units which are all
new crucial elements for success.
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 Contingency management theory: This theory focuses on this parameter that there is no
one whose approach of management works for every organization. The traits of leader
directly related to this factor that in which manner leader effectively lead their
team(Ruben and Gigliotti., 2017.). There are leadership traits which has been applied to
every type of situation and that leader should be flexible in terms of nature in order to
adopt to a changing environment. It is the theory which has been used by Coca Cola
company which depends on the situation where the company is in.
In context to TESCO company, they have used two factor theory in order to motivate their
employees into positive manner (Meraku., 2017). They can empower and motivate their
employees through suitable and well timed communication to effectiveness. So these are the
management theories which has been used in relation to management activities into different
organizations.
When management and leadership theories has been applied at the organizational level
then it will result into positive growth and development of an organization. These theories not
only increases the efficiency level of organization and employees but also lead towards giving
motivation to perform into out of box manner as well(Nguyen and et.al., 2017). According to the
application of leadership and management theories it has been observed that it will contribute
into the context of proper planning and strategise into more effective manner by finding out loop
holes of the company and convert it into result oriented manner (Zargar and et.al., 2019). These
theories also implied that it supports in terms of forecasting the future of an organization into
positive manner. Within the large organization it is important to make changes into the policies,
leadership and management style so that effective results can be obtained with the effective
implementation of these theories.
The impact of approaches of management and leadership at the organizational level is
positive up to a certain extent. It has been observed that by using different approaches it
sometimes becomes very difficult to adopt one approach and implement it for the longer period
of time. Different approaches have their own targets due to which sometimes organization and
employees get diverted from their main goal(Lee., 2021). So it becomes challenging to achieve
goals and objectives of an organization within a set period of time. So impact of different
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approaches of leadership and management gives different results according to changing period of
time.
Compare through organizational examples in order to compare different styles of management
and leadership approaches which has been taken for range of business situation and in which
manner they impact the decisions
There are different kinds of leadership and management styles which can be adopted into
different business situations into different organization and it is defined into the following
manner:
There are mainly five leadership styles which include authoritarian leadership, delegative
leadership, participative leadership, transformational and transactional leadership. It has been
observed at the organizational level that Elon Musk who is CEO and founder of Tesla and Space
X who uses authoritarian leadership style in order to provide best results into the
market(Leithwood., 2017).He pushed their employees to work their beyond limits and have to do
work hard for achieving goals within a set period of time. TESCO is a company who uses
participative leadership style in order to consider everybody’s point of view during the decision-
making process and organization also provide equal opportunity to share their ideas and
implementation way as well. It has also been observed into the business situation where
transactional leadership has been used by large corporations such as Hewlett Packard. This
organization has used this leadership style into the context of management for purpose of
supervision and monitoring as well. There is one more theory which has been used into business
situation which is named as transformational leadership. Apple, IBM are the companies who
uses this kind of leadership style in order to motivate and inspire their employees to work into
more appreciable manner so that they can become better in their task according to changing
period of time.
There are also different management styles which exist at the organizational level which
includes autocratic management style, servant management style, Laissez-Faire management
style and transactional management style. It has been observed that Bill Gates follows the
autocratic management style (Al Mosawi., 2017). The co-founder of Microsoft company holds
the position in a very strong manner and takes the decision for organizational further growth and
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development into independent manner. He is the business man who transforms the society into
large scale due to which he becomes a very dominant personality into this business world. There
is also one more style which is named as servant management style and it has been used by
majorly five companies which includes Balfour beauty, the container store, Marriott
International, Starbucks and Nordstorm.
These companies within the business situations focusing on providing greater goods and
best facilities as well. The focus of these companies leader is on that to prioritize the best quality
in terms of their goods and services as well. It has been observed at organizational level that
Hoover company has used Laissez-faire management style where company has trust on their
employees and also have reliance on them as well. It is basically home appliance company where
the company owner trust on their employees that they deliver best results for their company. This
management style can be used in those business situation where company has to deliver a big
project into the market where major reliance on their team members efforts and hard work as
well.
There is one more famous management style which is named as transactional
management style and it has been implemented in those business situation where an outcome has
been achieved by the company as a result of their whole team members efforts. This
management style has been majorly used by big corporations such as Hewlett Packard which is
an American multinational information technology company who develops personal computers,
related supplies and printers as well (Kristianse and et.al., 2016). So this company has used
transactional management style in different business situations. These are the different
management and leadership styles which can be used or implemented into different business
situations. With this implementation or application of different theories it is easier to made
changes at the organizational level so that effective results can be achieved into positive manner.
It has been observed at the organizational level that different management and leadership
styles have their own impact and way of working and nature as well. For example, authoritarian
leadership style is that where the whole power is into the hands of owner of the company
whereas participative leadership style involves people into the decision making process(Kaparou
and Bush., 2016). Transactional leadership style awards people on the basis of their performance
and also gives punishment into negative results as well whereas transformational leadership
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gives motivation to their followers. So different styles have their own focus and vision at the
professional level. In the similar manner, management styles work accordingly for it and
manages every department into successful manner according to their different approaches into
positive manner. So different style have different kind of impact on the decision making of
different organizations.
Evaluate different management and leadership approaches take to evaluate the effectiveness and
impact that the role of management and leadership has on the organizational performance and
culture
There are certain factors which influences the development of culture within organization
and it is defined into the following manner:
 Top leadership principles: It is important to treat people with proper dignity and respect
as well so that it does not impact the organizational growth and development and its
environment as well. It is the factor which measures in the terms of quality of service a
customer experiences. In context to TESCO company it is very important to listen
customers and their employees into careful manner which will add positive point in terms
of culture created at the organizational level. The CEO of the company also gives
emphasis on this actor through its leadership principle to give equal opportunity and treat
them well into positive manner.
 Nature of the business: Employees behavior has been impacted by certain factors such
as market and operations and purpose as well(Vohra and et.al., 2015). When organization
make a meaningful difference through products and services into the lives of people then
that has a direct impact on the culture of organization and in which manner employees
feel about the working. In context to TESCO company, when services provided by the
company creates difference into lives of their customers then it will positively contribute
into context of development of culture.
 Work ambience, policies and company values: It has been observed at the
organizational level that employees develop values which is emphasized in the
procedures, policies and work environment. The employees basically develops five true
principles which include trust, integrity in communication, client advocacy, growth and
learning mindset and positive team environment. So these principles, values and policies
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contribute in terms of promoting organizational culture. In context to TESCO company,
when policies which are made are favorable and contribute into positive development of
employees then it is easier to create positive environment at the organizational level
which will contribute into context of positive culture development.
 Clients and external parties: The client that company serves are the factor which affects
the organizational culture so these are the people who affect the well-being of the
employees. So in this manner, it affects the development of culture into positive
manner(Hoxha and Hyseni-Duraku., 2017). In context to TESCO company, if they have
positive relationship with their employees then they will positively influence culture of
organization into positive manner. When there is harmony between employees and
customers then it is easier to develop culture of organization into positive manner and
employees also perform into out of box manner as well.
 Recruitment and selection: There is no factor more important to organizational culture
than recruiting and selecting the right kind of employees. The largest impact on the
culture of an organization is due to the type of employees hired by an organization. It is
specially when an organization is in higher growth terms and also adding employees on
the rapid basis. In context to TESCO company, it is very necessary to recruit right kind of
candidate for the organization who can contribute positively into the context of
achievement of organizational goals and objectives as well. These are the factors which
influence the development of culture at organizational level.
It is very important that organizational culture should be positive, motivated and
inspirational as well so that employees feel motivated towards their work. The kind of
organization has culture then accordingly results have been achieved into positive manner. The
performance of different organization such as TESCO, Amazon has achieved positive results due
to motivating and collaborative nature of organization. When such kind of culture exist at the
organizational level then team members support each other into positive manner and faces
challenges without any kind of conflicts into collaborative manner(Hallinger and et.al.,
2015).The culture of organization also supports in terms of achieving vision into positive manner
as well. So its very important that the organization culture should be very effective so that every
employee feel dedicated towards their work. With this kind of culture it has been observed that
automatically the performance of organization has been enhanced into positive manner.
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Handy’s culture dimension: Within this model of Handy’s there are four classes of culture
which basically include power, role , task and person.
Power culture: It basically talks about controlling radiates from the centre, concentrates power
among few, few rules and bureaucracy and swift decisions are also possible. There are certain
organizations where the power remains into the hands of only few people and only they are the
ones who are authorized to take decisions. They are the most important people at the
organizational level and also the major decision makers as well. These are the individuals who
further delegates responsibilities into other employees. Subordinates do not have any option but
to follow the instructions into strict manner of their superiors. The employees do not have any
liberty to express their point of views or share their ideas into open forum.
Task Culture: These are the organizations where teams are formed in order to achieve the
targets and within these organization individuals who have common interest come together to
form a team. Within a team there are four to five members where team members have to
contribute into equal manner and also accomplish the tasks into most innovative manner.
Person culture: There are certain organization where major emphasis is on the employees of the
organization. This kind of culture is known as person culture. In such type of culture individuals
are concerned about their own self rather than their organization. Within this type of culture
people only come for the sake of their own money and never get attached to it.
Role Culture: This is a kind of culture where every employee is delegated with lots of roles and
responsibilities according to their interest, qualification, specialization etc. Within this type of
culture they have to decide what they can do best for it and also willingly accept the challenge as
well. At the organizational level, every individual is accountable for something and has to take
ownership of their work as well. In such type of work culture, power comes with the
responsibility.
CONCLUSION
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The above stated report concludes that leadership and management is very important for
the positive growth and development of an organization. It has been concluded that there are
different leadership theories which will help an organization to give positive direction in terms of
achieving their goals and vision as well. There are different management style which can be
implemented into different business situations in order to achieve results into positive manner. It
has been concluded that there are different leadership and management styles which have their
own purpose and perspective as well in terms of implementation part at the organizational level.
Although every organization has their own leadership and management style but there are certain
styles which are very common into most of the organization. It has been determined that there is
significance of culture at organizational level in order to have great efficiency from the
perspective of employees. So its very important for every kind of organization to follow proper
leadership style in order to give right direction to the organization so that results can be achieved
into fast pace manner within a set period of time. In addition to this, leadership act as strong
pillar for whole of the organization who is responsible for further growth and development of an
organization.
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