2.3 - Leadership and management

What is leadership vs management

Leadership is the leader of a business, driving it towards the long-term aspirational goals. The leader motivates staff and shows their greater purpose, having a positive influence.

Management is of the day-to-day tasks of the business and their short-term goals. It is overseeing and organising staff. Managers aim to achieve an organisations objectives

What are the 5 different leadership styles?

Autocratic

Democratic

Paternalistic

Laissez-faire

Situational

What is the autocratic leadership style?

It is one leader who makes all of the decisions himself and instructs others what to do

Advantages and disadvantages of autocratic leadership style?

Advantages:

• good in crisis situations - fast decision-making

• good for unskilled employees

Disadvantages:

• no feedback from employees

• demotivation from employees as opinions are ignored

• bad working relationships which can lead to absence and turnover

What is the democratic leadership style?

A leader who involves all employees in decision making

This builds employee confidence, but delays decision-making

What is the paternalistic leadership style?

It is a leader who treats employees as family members

While this builds a close relationship, it can come across as controlling and helicopter

What is the laissez-faire leadership style?

A leader who has minimal input and lets staff make their own decisions and what to work on

This fosters responsibility and puts less workload on the leader, however relies heavily on teamwork, delays work as it can encourage slack and lazyness

What is the situational leadership style?

This style adapts based on the circumstances, and can be affected by the type of task, the business culture, the type of leader