Assessment of Management and Leadership Styles in The Service Sector

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LEADERSHIP AND MANAGEMENT FOR SERVICE
INDUSTRY
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Table of Contents
Introduction...............................................................................................................................2
LO1:..........................................................................................................................................3
P1 Assess different classical management theories and apply these in a service industry
context......................................................................................................................................3
P2 Explain the role of the leader and different leadership styles in a service sector industry
context......................................................................................................................................5
P3 Review the management and leadership styles in a specific service sector organisation. 6
M1 Analyse management and leadership styles in a specific service sector organisation in
relation to organisational structure and culture........................................................................7
D1 Evaluate a specific organisation’s current management and leadership styles making
links to theorists and providing evidence of organisational practice........................................8
LO2...........................................................................................................................................9
P4 Investigate the internal and external factors that influence management styles and
structures in a selected service industry organisation..............................................................9
M2 Analyse the internal and external factors that influence management styles and
structures in a selected service industry organisation identifying strengths and weaknesses
...............................................................................................................................................10
D2 Critically analyse how specific management styles have been influenced and changed by
internal and external factors in a selected service industry organisation...............................11
LO3.........................................................................................................................................12
P5 Asses current management and leadership ‘hard’ and soft’ skills providing evidence from
specific service sector examples............................................................................................12
P6 Discuss future management and leadership skills required by the service sector and how
these can be achieved...........................................................................................................13
M3 Evaluate current and future management and leadership skills that are crucial for the
service sector.........................................................................................................................13
(D3, D4) Critically evaluate how, in response to change, management and leadership skills
in the service sector have developed.....................................................................................14
LO4.........................................................................................................................................15
P7 Compare and contrast different service industry organisations’ change management
systems and leadership in implementing change..................................................................15
M4 Analyse how change management affects management and leadership skills and styles
...............................................................................................................................................15
Conclusion..............................................................................................................................17
Reference...............................................................................................................................18
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Introduction
Leadership refers the setting of new vision for a group of people that might be followed by
them for the growth of the respective work where engaged. It can be said that the leaders
are the spearhead of for the new vision. The management describes a controlled system
that directs the related people and resources in a specific batch. Based on the rules and
regulations that has been implemented. Often the leadership and management both of these
are interrelated with each other. There is a continual negotiation in the direction as well as
guiding the resources to reach that direction.
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LO1:
P1 Assess different classical management theories and apply these in a service
industry context
Management theories
Management theories cover the bunch of general guidelines that lead the managers to
handle the respective purposes of the organization. Theories are considered as general
explanation to guide the employees for their effective involvement to reach the business goal
and implementation of positive means to obtain the same.
In general, four management theories are there that are followed by the respective
managers of an organisation. These are Frederick Taylor-Theory of Scientific Management,
Henri Fayol-Administrative Management Theory, Max Weber- Bureaucratic Theory of
Management, Elton mayo- Behavioural Theory of Management (Hawthorne Effect).
Frederick Taylor-Theory of Scientific Management
Frederick Taylor is known as the father of the scientific management. He developed this
scientific study in order to search a single relevant way for doing a work. It includes several
guidelines for the managers (Turan, 2015.). These include development of a science for
each selective work and study in addition with analysis to sera a best possible way to do the
work. Scientific methodology should be the basis for selection of any workers and training
and teaching and developing is included in respect to work for the development of a worker
for a particular job.
Henri Fayol-Administrative Management Theory
Henri Fayol, is the developer of modern management theory. He proposed a theory based
on general management that can be applicable for all the sectors and administration
(Hatchuel and Segrestin, 2018). This theory categorised the activities of an organization into
groups. Such as, Accounting activities, commercial activities, technical activities, financial
activities, security related activities.
Max Weber- Bureaucratic Theory of Management
Max Weber proposed the theory of Bureaucratic organization. According to the definition
Bureaucracy is the practice of control on the basis of knowledge, experience, and expertise.
According to this, the organization should hire employee based on the basis of their
technical training and educational qualification. Managers’ decision should be based on
promotions and experiences (Niskanen, 2017.).
Elton mayo- Behavioral Theory of Management (Hawthorne Effect)
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The contributions of Elton mayo’s came as a section of Hawthorne studies, a sequence of
experiments continuously applied classical management theory to disclose its shortcomings
(Őnday, 2016).
Application of management theories
The above-mentioned theories are executed in the field of successful business
achievements by the renowned five star hotel of UK, THE NED. The managerial board are
motivated to maintain strict guidelines for maintaining a successful as well as high end
reputation in their field. They select their employees according to their educational
background related to the hotel management, other related background and also according
to their previous experiences. There is also an equal load of work distribution in the
organisation according to allocated work. The management of THE NED motivates the
employees to achieve the goal. Regardless of the status all the employees are bound to
maintain the rules and regulation of the hotel. Whenever it is needed the employees are
trained as per the requirements.
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P2 Explain the role of the leader and different leadership styles in a service sector
industry context
Role of leader and different leadership style
Leadership is considered as the activity of leading the people of a organization for
achievements. They do this through influencing the workers activities in various ways. The
most important aspects of any kind of leadership is the taking of right decision at right
moment. Leader set make a specific goal towards their employee and then motivates,
guides during the work procedure and creates strong morale. Leadership style covers the
behaviour traits of leaders when they are in state of guiding, motivating, managing the group
of workers. Researchers developed various theories that allows the people for understand
better the different leadership. The most prominent leadership are Democratic Leadership,
Autocratic Leadership, Laissez faire Leadership, Strategic Leadership, Transformational
Leadership, Transactional Leadership, And Bureaucratic Leadership.
Implementation of the leadership style
The leaders of THE NED follow the guidelines of democratic leadership for their
organization. In this style a leader of this company establishes a field of many voices for
making a sound decision. It carries a great impact on employee management.
● Decision-making
The leaders of THE NED invite the participation of all the related workers of the hotels to
make an effective decision regarding the issue of organisation. The democratic leaders
entertain workers to have autonomy and also offer insert past their regular responsibilities
(Iqbal, 2015). This traits lead to gain higher productivity.
● Employee engagement
At the time of difficulties the leaders of this company prefer to keep the workers engage,
motivated and productive. So as to get rid of the situation through following the viable
decision (Amanchukwu, 2015). Without only being involved in the productivity and
performance of the employee the leaders also focuses on the quality. The leaders expect
informed viewpoint from most of the employee as they could be involved.
● Discussion sessions
However, unlike the leaders of affinitive who sometime fails to deliver clear way out these
leaders has ultimate say. The democratic leaders cars that workers feel engaged, they really
seek out viewpoints from these persons for helping them making informed decision (Yang,
2015). Here input is treated as a basic resource that should be free flowing.
● Maintaining sustainable relationship
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The leaders of this organisation make sustainable relationship with employees through the
sharing of ideas and knowledge. It may make the situation comfortable for the employees in
the work environment (Covin and Slevin, 2017). The leaders have a faith system that is
based on the morality and ethics. This kind of interactions may be beneficial for the
improvement of the group.
The leaders of THE NED have such intelligence and competency, so that they are able to
take right approach and utilize the correct ideas of employee in a smarter fashion. Their
balanced and controlled approach facilitates the free flowing conversations (Ghasabeh,
2015).
Figure 1: Implementation of the leadership style
(Source: Created by Author)
P3 Review the management and leadership styles in a specific service sector
organisation
Review of the management style
It is evidenced that THE NED has very high level of labour turnover. Hence the management
style of the organization should be highly related on this topic. Hotel managers of THE NED
follow the autocratic style to manage their work. Furthermore, there may be a flow towards
the decisive style. The effective managers of this respective company need other traits such
as, being perspective, visionary and inspirational. The main challenge of the company is to
motivate the managers for these traits. The heritage hotel is adopting more improvised style
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to be more approachable and consistent with their fame. The employees who work in a
manner of more consultative and democratic style are more resistant to change. But here
the managers should maintain their consistency in personal level. It means that they should
not provide the freedom to operate the system.
There can be a lack of accountability in this structure of operation. Sometime it may
welcome unhealthy culture within the hotel management. The personal morality of the
managers is the corporate truth of the business.
Review of the leadership styles
The democratic leaders of THE NED practices to have a open mind when they are handling
a dissenting opinions. This is a very positive approach of the leaders towards the business
(Dartey-Baah, 2015). It is not the case that the leaders are acting on each opinions of the
employee but they listen their opinion keep that in their mind and account this as a source
from where they can be advantageous. Hence it can increase the staff productivity with the
diversified ideas from the efficient employees. The employees feel comfortable by sharing
their thoughts and it creates a very healthy environment for working.
Due the involvement of huge number of employee in THE NED decision making could be a
slow process. Hence at the time of crisis, as the leaders become engaged in listening from
others it might be problematic for them to shape a decision which does not include the inputs
of worker and fellow leaders. While the leaders are ready to shape a final decision,
employees may not have such experience to shape the decision. This could lead to
misleading choices that never solve the crisis.
M1 Analyse management and leadership styles in a specific service sector
organisation in relation to organisational structure and culture
The management and leadership style includes the manager employee relationship. In THE
NED leadership and innovation play an important role. In comparison with other organisation
this one offers more attention in the implementation of innovation. The leaders of THE NED
are more close to the employee and they seriously must cheer affirmation in the
organization. The organisation may be engaged in the transition procedure and reliable or
internally implementing changes related with workflows in addition with reporting structures
and requirement of current information system, financial controls and policies of human
resources.
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D1 Evaluate a specific organisation’s current management and leadership styles
making links to theorists and providing evidence of organisational practice
In respect of some negative sides of the democratic management, the respective
organisation may consider the sole decision making strategy of the leaders for the sake of
company. This May provide to take quick decision at crisis as it depends only on the
decision of leaders. Most of the subordinates wish to work under the supervision of
centralised authority and it may satisfy this requirement. Matters can be kept secretly under
the sole responsibility of the management system and less efficient subordinates are
needed. Hence the current management of THE NED could be effective to carry out the
responsibility to achieve success.
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LO2
P4 Investigate the internal and external factors that influence management styles and
structures in a selected service industry organisation
It is necessary for an organisation to investigate its internal capabilities in order to conduct its
business operations in an effective way (Zinovieva et al., 2016). By conducting external
analysis, it becomes easier for organisation like THE NED, to improvise their management
and leadership styles.
Internal Factors
The internal factors are based on the inner factors of the concerned organisation. These
factors are-
Managers and Employees: Employees are the vital part of the internal environment of the
organisation. They are given the responsibilities to provide the best service to the customers.
It is important for the staffs to have good interaction level with the customers in order to
make them feel comfortable to retain them as well. In this way, the goodwill of THE NED can
be enhanced. In order to handle the employees, it is essential for the organisation to have
skilled and able management department. However, the duty of the managers is to regulate
the service quality that is provided by the organisation. It is also important for the managers
to create a strong coordination with the staffs. This may help to develop the management
structure and as well as the organisation.
Money and Resources: Money and resources can determine how an organization can
survive in the long run (Bird and Mendenhall, 2016). When capital funds are limited, it may
have an effect on the further recruitment process. It also affects the food quality and the
service quality of the organisation in negative way which leads to the dissatisfaction of the
customers. If the organisation has more than enough funds, it can further enhance its food
and service quality. For example, more funds allow the concerned organisation to have more
manpower and can help to develop the management system of the respective company.
Company Culture: The culture of the organisation consists of the attitudes, values and
priorities that the employees live by. It also depends on the work environment. In order to
maintain a good work culture, it is important for the staffs to have a strong collaboration with
each other. It can certainly improve the management style and structure of the organisation.
This can be helpful for the development of THE NED.
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External Factors
The external factors are based on the environmental factor through which the management
structure of the organisation can be influenced. This are-
The Economy: The economy of a country is a huge factor for the organisation in order to
run its business properly. If the country can maintain the good economic growth, it may help
the organisation to further enhance the business. For instance, the respective organization
consists of higher interest rates on credit cards, which may discourage the customers to
spend. The organisation cannot control the economy but it can precede its business
operation according to the situation.
Competitions: There is a fierce competition going on in the hotel industries in UK.
Competition may help the organisation to be more developed as it increases the
management strength and ability more than before (Herman, 2016). The management of the
organisation has become more organised in their work and they are providing the best food
and service to the customer. This is the way; the respective organisation can become an
obvious choice for the customers to stay.
Suppliers and Customers: One of the vital external factors is the power of customers and
suppliers. They are the most important people of the organisational needs to deal with.
Suppliers can make a plenty of impact on the costs of the product and service. The power of
the customers depends on the tastes and preferences of them and it may have an influence
on the quality of the service of the concerned organisation.
However, these external as well as internal factors can lead to a change within the structure
and styles of management for the concerned organization in different forms. For instance,
the respective factors can also lead to a change within the advancement of technology
through its weaknesses and strengths as well.
M2 Analyse the internal and external factors that influence management styles and
structures in a selected service industry organisation identifying strengths and
weaknesses
The physical environment of a workstation performs an important role in employee
satisfaction as well as the productivity of THE NED. If the satisfaction of the employee gets
increased it reflects on their productivity that may satisfy the performance of the
management. Hence poor physical environment have negative influence on the final
productivity of the organization’s high end resource of the respective company may lead to
reach a position of success. It is the basic need of the hotel to continue their business and
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also to make themselves consistent in respect of their reputation as a heritage of UK. Money
also matters to follow the current trends of the business world of UK. a healthy democratic
leadership allows a healthy environment of the workplace to make success. The heritage
fame of THE NED supposes to be beneficial in respect handling the competitors. The
suppliers of the THE NED includes provider of raw materials for the hotel business. Hence a
healthy relationship with the suppliers and their monetary dealings may enhance the
success of THE NED.
D2 Critically analyse how specific management styles have been influenced and
changed by internal and external factors in a selected service industry organisation
According to the internal and external factors the management style of THE NED can be
affected. This can be either beneficial or not in respect of the success of the hotel. A
healthier employee-manager relationship of the democratic strategy may flourish the working
culture of THE NED. It could be a positive approach for this organization. Sudden growth of
rivals against the organization may hamper the productivity in respect of democratic
strategy. A huge number of employees of this company may hinder to take the right decision
at sudden crisis. The customers of this heritage of UK are quite satisfied with the hospitality
of the hotel and their consistent reputation.
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