Assessment of Management and Leadership Skills in Service Industries

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Leadership and Management for
Service Industries

TABLE OF CONTENTS
Introduction......................................................................................................................................1
LO1..................................................................................................................................................2
P1 Assess different classical management theories and apply these in a service industry
context..........................................................................................................................................2
P2 Explain the role of the leader and different leadership styles in a service sector industry
context..........................................................................................................................................4
P3 Review the management and leadership styles in a specific service sector organisation......6
M1 Analyze management and leadership styles in a specific service sector organization in
relation to organizational structure and culture...........................................................................7
D1 Evaluate a specific organization’s current management and leadership styles making links
to theorists and providing evidence of organizational 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.................................................................................................................14
M3 Evaluate current and future management and leadership skills that are crucial for the
service sector.............................................................................................................................15
LO4................................................................................................................................................16

P7 Compare and contrast different service industry organisations’ change management
systems and leadership in implementing change.......................................................................16
M4 Analyze how change management affects management and leadership skills and styles. .17
D3 Critically evaluate how, in response to change, management and leadership skills in the
service sector have developed...................................................................................................18
Conclusion.....................................................................................................................................19
References......................................................................................................................................20

LIST OF FIGURES
Figure 1: Different classical management theory............................................................................3
Figure 2: Different leadership styles................................................................................................5
Figure 3: Hard and soft skills.........................................................................................................13

Introduction
The management and leadership are the two process of contradictory which support organization
staff members in terms of attaining the organizational objectives. The classical management
theory plays an important role in organizing and planning several functions to formulate the
employees work according to set strategies and planning. The leadership style also supports the
organizational team member through changing in their behavior for this the leaders are
responsible. Further, the hard and soft skills of the different service industry will be shown in the
report. The external and internal sector which influence on the management styles and structure
along with its strength and weakness will also be highlighted in the report. Lastly, the
comparison of the different services sector will be discussed which show how effective the
change management system and leadership implement the changes due to the use of digital
technology in the organization.
1

LO1
P1 Assess different classical management theories and apply these in a service industry context
There are different management theories, and the classical management views or theory is one of
this. The manager responsibilities are proper recruiting, planning, controlling, organizing and
directing etc in an organization. The IHG (Intercontinental hotel group) which is the hospitality
sector located mainly in the UK that shows the impact of digital technology on its management
and leadership in the report. The different classical management theory is administrative,
bureaucratic and scientific etc.
Taylor's Scientific Management: In this theory, the emphasis and recognition of a need in
adopting digital technology in the service sector is used for managing the enterprise (Berry et al.,
2016). The Taylor has suggested that the management responsibilities have a need to adopt the
scientific approach in its work as well as also make use of the scientific method in terms of
achieving the higher efficiency in the service sector.
Administrative Management of Fayol: In this theory, the important exponent is Henry Fayol.
He has suggested that in service industry there is need of proper technical activities, security
activities, managerial activities, accounting activity, financial activity to handle the impact of the
new technology when the organization thinks to implement in its business. He has established a
pattern of the management practice and thought to enhance the higher efficiency in the
organization.
Bureaucratic Model of Max Weber: This model provides the right model for the organization.
This did not account for an important element of a human. In this model the main features
include are impersonality, rigidity and higher control of cost in the service sector (Thaler and
Hartmann, 2016). Also by applying this model in the service sector, there is a tendency in
forgetting the organizational goals and objectives. In the service industry, this model is preferred
only where in which the changes rate is predicted and changes are not anticipated.
2

Figure 1: Different classical management theory
(Source: tierrasalto.com, 2019)
3

P2 Explain the role of the leader and different leadership styles in a service sector industry
context
The leader plays an important role in the service sector which is responsible for the organization
failure or success. The ineffective leadership cause in organizational effectiveness. The leader's
role in the leadership style depends on how well they implement digital technology in its service
sector. In the leading the effectiveness is appears with the action on the workplace. The different
styles of leadership in the service sector in which some of them are mentioned below:
Autocratic leadership: It is one of the most extreme ways for leading a follower through
powering them. In this leadership type, it is carried usually by individuals who need to impose its
perspectives and wills in the service sector (Laureani and Antony, 2017). When implementing
the digital technology in the service sector there are many conditions raised in an organization
for this it is appropriate to a style which is suited best in making the quick and right decisions.
Participative leadership: In this style, the leader is offering the import to an opinion of a staff
member as well as involves them in process of decision making but it maintains a concluding of
the decision making authority in the organization. This style has a high consultation degree in
service sector along with followers. This style effectiveness is ensuring with a self-motivated and
highly trained team.
Transactional leadership: The leader in this theory is anxious more with the processes instead of
future growth. This leadership approach is considered as an important approach for
organizational effectiveness. In any emergency situation towards implementation of the digital
technology in the service sector, this leadership style is suited best in which work has been carry
in a specific pattern (Pilbeam et al., 2016).
4

Figure 2: Different leadership styles
(Source: author, 2019)
5

P3 Review the management and leadership styles in a specific service sector organisation
To review the best leadership and management styles in the hospitality sector, there is a need for
deciding the effective management and leadership styles which suited best in the organization by
considering the few factors. There is a need for determining which style is fitted best in the
organization and its mission. If an organization want to come up with the creativity along with
the unique solutions that they did not need to go with the bureaucratic style which outlines a
procedure that is needed to be followed by everyone (Afsar et al., 2017). For example, if an
organization chose the autocratic leadership fairly in its business then the business nature and
environment is impacted more in this because in this style there is need of taking a lot of the
decisions quickly and to be honest and loyal with the team members.
By implementing the new technology in an organization it helps the organization by keeping
their employees engaged towards the activity and this will make their interest in an organization
and retain them for a longer period of time. For this, the administrative management of classical
theory is suited best. There is not a single style which works perfectly in each situation, but there
are many styles that performed different roles in different situations.
6

M1 Analyze management and leadership styles in a specific service sector organization in
relation to organizational structure and culture
The organization stricture and culture express the shared assumptions of belief and values that is
holding the leadership and management style effectively in the service sector. The style of
leadership and management refers to the organization manager and leader characteristics when
directing, guiding and managing the group of the people in the organization. The effective
management and leadership style creates positivity in the organizational culture and the structure
(Mittal and Dhar, 2015). If the culture of the organization is stronger it will affect on the
organizational employees of what they are doing and a way in which the manager and leader
organza, plan, control and lead.
If the culture of the organization is weak, and if no shared value is present, it will effect on the
organizational behavior and culture. The impact of digital technology also put the negative
impact on the organizational culture and structure if it not properly implemented in the
organization by the manager and leader. So for this, the organization has to apply the best
management and leadership style in its business which does not affect their culture and the
structure.
7

D1 Evaluate a specific organization’s current management and leadership styles making links to
theorists and providing evidence of organizational practice
The administrative approach of Henry fayol theory is applying currently in the organization
which improved the overall organizational performances and practice by its five principles that
are planning, organizing, controlling, commanding and coordinating. The max Webbers
bureaucracy theory is also suite best for the organizational practice by applying formal norms
and rules, recruitment based qualification and abilities, hierarchy structure, systematic filling and
equality (Olins, 2017). Currently, the organization also uses the scientific management theory by
Taylor whose main aim is to increase the operational and production cost of the service industry.
The style of autocratic leadership is beneficial in some of the cases in which the decision is
needed or made quickly without any consulting for a large people group that is suited best for
organization practice. In the participative style of leadership is also effective in which a leader
has to make several changes in such a way so that they can solve the issues which are based on
the specific situation, setting or problem. Also currently the organization is very useful in using
the theory of the transformational leadership for implementing the latest technology in the
organization in term of increasing the profits and productivity of the service sector. As it is the
best style reaches with every organizational level or stage effectively.
8