The purpose of this paper is to differentiate between management and leadership. I will examine the role and responsibilities of leaders in creating and maintaining a healthy organizational culture. We will take a brief look at the collapse of Enron due to their leadership values.
Now more than ever, with today's challenging business world, the workplace demands faster results and fewer people. In order to stay competitive, organizations need to be able to rapidly translate new information into knowledge. Leadership and management are two ideas that are often used interchangeably, but there is a vast dissimilarity between a manager and a leader. However, these two words actually depict two different concepts in the workplace. The leadership style of supervisors openly impacts employee job satisfaction, retention, and dedication to getting the job done. Managing and leading are two different ways of organizing people; the manager uses a formal method and the leader uses passion and is informal.
Management vs. Leadership
Differences. Leadership is one of the many assets a manager can possess. Care must be taken in distinguishing these two concepts. The major goal of a manager is to capitalize on the production within an organization through executive decisions. To attain these decisions managers must make use of the 4 functions of management; planning, organizing, staffing, directing and controlling. Leadership is just one important component of the directing function. A manager cannot just be a leader he also must also have the formal authority to be effective. Managers think incrementally, while leaders think fundamentally. Managers do things by the book, and follow company policy while leaders follow their own perception, which in many cases is more beneficial to the company. A leader is also more emotional and creates a connection with the employees, where as the manager is more commanding.