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What is a key difference between a leader and a manager?
A leader motivates a team and thinks about the bigger picture, while a manager organizes resources and focuses on day-to-day objectives.
Aside from managing resources and day-to-day operations, what is a primary responsibility of a manager?
To set objectives for the team or firm.
What is the primary role of a leader?
To take control of a group of people, emphasizing good ideas and communication.
How can a Prime Minister be seen as both a manager and a leader?
They manage their cabinet (manager role) and lead the country (leader role).
Define leadership.
The ability to influence and direct people in order to meet the goals of a group.
Define management.
The process through which company resources are used and decisions are made in order to meet the objectives of the firm.
Describe the autocratic leadership style.
The leader makes a decision without consulting the team.
Describe the democratic leadership style.
The leader consults the team before making a final decision.
What is the Laissez-faire leadership style?
A leader allows the team to make decisions, giving experienced and competent staff the freedom to manage themselves.
What is the Paternalistic leadership style?
A leader acts in a fatherly way towards the workforce, making decisions based on the needs of the workforce as well as the business.
What is the Bureaucratic leadership style?
Leaders strictly follow rules and regulations.
What is an advantage of autocratic leadership?
Decisions are made more quickly.
What is a disadvantage of autocratic leadership?
Employees can become demotivated.
What is an advantage of democratic leadership?
Employees feel valued and more motivated.
What is a disadvantage of democratic leadership?
It takes longer to make decisions as more people are involved.
What is an advantage of Laissez-faire leadership?
Employees can have a say in the business, which may motivate them to work harder.
What is a disadvantage of Laissez-faire leadership?
Employees could make decisions that don't align with business objectives or values.
What is an advantage of Paternalistic leadership?
Higher staff retention rates.
What is a disadvantage of Paternalistic leadership?
Profit may fall, as decisions often revolve around staff needs.
Name two internal factors that influence the style of leadership.
The expertise and experience of the workforce and the skills required for the work to be done. (Other answers include: the time frame associated with the task, the personal traits of the leader, the power given to the leader.)
Name two external factors that influence the style of leadership.
The political and legal environment and the economic environment. (Other answers include: the social environment, the technological environment, the changing nature of the industry.)
What model illustrates the balance between manager authority and subordinate freedom in decision-making?
The Tannenbaum Schmidt Continuum.
On the Tannenbaum Schmidt Continuum, which leadership styles are considered autocratic?
The 'tells' and 'sells' styles.
What is characteristic of a manager's role in the 'tells' style on the Tannenbaum Schmidt Continuum?
The manager takes and announces decisions with no delegation.
Which style on the Tannenbaum Schmidt Continuum involves the manager presenting a decision with ideas and inviting questions?
The 'consults' style (level 3).
When a manager suggests a provisional decision and invites discussion, which level of the Tannenbaum Schmidt Continuum is this?
Level 4.
What does a manager do at level 6 of the Tannenbaum Schmidt Continuum?
The manager explains, defines parameters and asks the team to decide.
Which leadership style described in the Tannenbaum Schmidt Continuum grants the most freedom to subordinates, allowing them to develop options and decide on action?
The 'delegates' style (level 7), also associated with Laissez-faire.
According to McGregor's Theory Y, what is a key belief about workers regarding responsibility?
Workers are able to organize themselves and take responsibility.
What does McGregor's Theory Y suggest about workers' desire to contribute?
Workers wish to contribute to decisions.
In McGregor's Theory Y, what is often cited as a reason for poor performance?
Monotonous tasks.
According to the Tannenbaum and Schmidt Continuum, what leadership style would an autocratic leader represent?
Tell
How is a Laissez-faire leadership approach characterized on the Tannenbaum and Schmidt Continuum?
Participates, with high delegation giving employees more work.
Which of McGregor's theories believes workers are lazy and necessitates an autocratic approach?
McGregor Theory X
Which of McGregor's theories believes workers want to contribute and aligns with democratic/Laissez-faire leadership?
McGregor Theory Y
What is the initial step in the management decision-making process?
Setting objectives, which must be measurable.
During management decision-making, what considerations are important when gathering and interpreting information?
Considering costs and benefits.
What step follows the selection of a chosen option in management decision-making?
Implementing the decision, which involves taking action and using resources.
What is the final step in the management decision-making process?
Reviewing, to judge if the decision is having the required effect and meeting objectives.
What type of decisions are made for familiar problems with well-structured information?
Programmed/routine decisions.
What type of decisions are one-off, unstructured situations that require a unique solution?
Non-programmed decisions.