The Definition of Leadership
Parry (1996: 2) defines leadership as the act of presenting a clear goal or vision to others, which they can aspire to. It involves generating a willingness within individuals to follow the leader in a socially responsible and mutually beneficial course of action towards that goal. However, this definition does not emphasize the effectiveness of leadership and its key characteristics. Leadership is often associated with having a long-term vision and inspiring people to follow in order to achieve a common goal for the future development of the company.
According to Strange and Munford (2002), they believed that personal magnetic leadership is the most effective way to influence and motivate people. Wunderer and Grunwald (1980: 232) defined leadership as a goal-oriented and societal impact to accomplish common tasks in a structured work environment. However, there is often confusion between leadership an
...d management due to various interpretations. This essay will explore the essential role of leadership in the management environment while also assessing the process of human resource management.
Human Resource Management
The Human Resource Management system plays a significant role in a company or organization, directly impacting its strategic implementation at every step and controlling the pace of development compared to competitors in the same industry.
Heathfield (2010) suggested that Human Resource Management (HRM) is the function in an organization that focuses on recruiting, managing, and providing direction for the people who work in the organization. HRM can also be carried out by line managers. In the past in the USA, HRM focused on human relations in enterprise management and employees' relations in the working environment. With the application of industrial psychology, HRM commonly uses integrated system
and strategies. In the UK, HRM was also known as personnel management (PM). Based on these statements, it is clear that a manager plays a central role in the HRM system. The main responsibility of managers is to deal with people-related issues and make decisions regarding recruitment, such as selecting the most suitable candidate for a vacant position. According to Taylor et al. (2008), the HRM system is the first level of administration in the people management system and encourages further organizational activities. How can we assess whether an organization has a good HRM system or not? It focuses on the Strategic Human Resource Management (SHRM) system.
According to Porter (1979), operational effectiveness and strategic positioning are two important methods for organizations to gain an advantage over their competitors in an industry. These factors can help the organization outperform its rivals and achieve unique benefits within the industry. However, Taylor et al. (2008:128) argue that a focused strategy requires a competitive position based on either cost leadership or differentiation. Strategic Human Resource Management (SHRM), as defined by Wright and McMahon (1992: 295), involves planned human resource deployments and activities aimed at achieving organizational goals. The purpose of SHRM is to attract suitable candidates to join the organization while improving its marketing position in the industry. The sport organization serves as a good example, with every sports club aiming to attract renowned managers or athletes, such as those in the National Basketball Association (NBA).
The NBA draft is unquestionably the best opportunity for each team to annually select a potential player. Nevertheless, the SHRM system has gone beyond basic HRM skills and encompasses management techniques such as high-commitment
work systems, recruitment processes, leadership philosophy, and organizational development processes (Taylor et al, 2008). To summarize, while the current approach to SHRM still falls within traditional HRM boundaries and lacks practical application for organizations in various situations, combining the theoretical framework of HRM with practical SHRM processes can result in improved long-term development for a sports organization. Moreover, managerial leadership plays a crucial role in SHRM.
Hence, this section of the essay will examine the distinctions between direction and leadership.
Differences of Management and Leadership
When discussing the issue of relationship and distinguishing between direction and leadership, individuals hold varied perspectives. In earlier times, John Adair (1988), a professor, employed etymology to explain the disparity in a magazine interview. Adair revealed that the word "leadership" originated from Anglo-Saxon; it denotes a route, a manner, the way of a ship at sea, a common sense of direction. On the other hand, "management" derives from the Latin word "manus," meaning a hand, involving the handling of a blade, a ship, a horse. This easily reminds people of the activities performed by entrepreneurial engineers and accountants when initiating and managing businesses, leading to their prominence in the 19th century.
Despite recent developments, additional functions have emerged, including planning, organizing, and controlling work. These functions are similar to those of management in my opinion. Managers always create a plan, organize activities, and allocate resources to achieve common goals (Gill, 1997). Meanwhile, managers can communicate with their employees, but leaders typically influence and inspire their employees.
Behind every leader, there is a support team and followers, however, directors only have their subordinates. In my opinion, management focuses on implementing the overall plan through the director's
skills and maximizing the use of resources, while leadership emphasizes the individual's ideas and inspires employees with the main spirit. In short, the ultimate goal of good management or leadership is to win the hearts and minds of their people.
Leadership Theory
According to leadership theory, a leader conveys ideas to others through their unique management approach.
Popper and Zakkai (1994:3) state that leadership involves persuading individuals to perform tasks with the same level of determination, willpower, and enthusiasm as if they had chosen to do it themselves. The focus of leadership literature has been on identifying the most relevant theories for current leaders. Lewin et al. (1939) proposed that the performance of subordinates determines which leadership theory is suitable for a specific organization, leading to the development of various leadership programs. The outward edge development program is currently popular in many organizations. This report examines major leadership theories and presents recommendations for improvement through the analysis of a real-life case.
The original theory of leadership traits focuses on the characteristics of the leader. According to Cartwright and Zander (1968), an effective leader should possess certain qualities such as intelligence, dependability, sense of duty, greater energy, and social activity. These qualities require the leader to continually improve themselves in the future rather than being innate. The 'Personality Era' of 'Great Man' theories, proposed by Van Sters and Field (1990:29), suggests that effective leaders were believed to have common characteristics that influenced their behavior. However, the 2000 World Economic Forum study challenged this theory. The study found that many successful companies change their Chief Executive Officer (CEO) to ensure business prosperity.
Most CEOs are successful in their first organization but often
fail when transitioning to a new organization. This indicates that leaders may not possess all necessary leadership traits and that there is a weak connection between CEO style and organizational performance. Additionally, the trait theory is not meant to assess leadership situations. The situational theory, on the other hand, focuses more on the situation and the group of followers. This approach is more practical and beneficial for leaders to recognize their followers and situations. However, this approach does not consider the entire organization or the current needs of the leader's specific group.
Contingency theory of leadership primarily examines three factors between leaders and followers. The first factor is Fiedler (1968), who suggested expanding the definition of both the follower's role and the construction of their work. The second factor is how the leader utilizes their authority and relies on their subordinates. The third factor is the existing relationship between the leader and the followers. The leader's personal charisma attracts the followers, while the followers fear the leader.
Leadership manner theories focus on the behavior of the leader and do not pay attention to the individual characteristics of the leader. According to some researchers, directors who prioritize employees as the center tend to achieve better results compared to those who prioritize tasks. This evaluation is based on the leader's performance value. When leaders view the situation as a supervisor, they prioritize tasks over employees.
However, considering the employee and their position, valuing both the undertaking and the employee is important. So, the ulterior attack is more comprehensive. Of course, as a leader, paying more attention to employee behavior can bring more benefits to their work than just focusing on
the undertaking. This type of leadership is popular in many organizations. Popper and Zakkai (1994:6) acknowledged that "transactional leadership involves an exchange relationship mechanism that occurs when there is no imminent sense of threat or anxiety."
Transactional leaders utilize management-by-exception, either actively or with contingent rewards (Gill, 1997). Management-by-exception generally involves setting objectives and guidelines, taking control of progress, identifying errors, and improving leadership effectiveness. However, transactional leadership overlooks employees' desires and motivation; its emphasis lies in achieving the goal through followers. Numerous empirical examples demonstrate that transactional leadership can deliver performances that meet expectations (Gill, 2003).
This form of leadership is a good attack in order to excite the followings and subsidiaries' interested in carrying out the goal and enhancing their self-development. Alderder ( 1972 ) agreed that transformational leadership should pay more attention to the leader's developmental need. Furthermore, Bass ( 1991 ) revealed that there exist the following four facets of transformational leadership behaviors:
- Individualised consideration
- Intellectual stimulation
- Inspirational motivation
- Idealised influence (appeal)
Analysis of a Practical Sports Organisation Example
During a period as a sports trainee in Beijing, an illustration of a process of leadership change was witnessed by the writer. This fitness club was set up in 2003 and it has been open for 5 years.
During the early stages, the original program of the former director of a fitness club aimed to cater to white-collar workers and university students in the vicinity. As a result, his main focus was on attracting more customers and increasing sales rather than implementing an integrated management system for his subsidiaries to improve the overall quality of the fitness club's services. He exhibited traits of
an individualistic leader, who prioritizes his own interests over his employees'. According to Popper and Zakkai (1994:3), an effective leader, as per this approach, is someone who understands and responds to the needs and expectations of their subordinates. Furthermore, his behavior aligns with various theories. During weekly meetings, when employees offer their suggestions or ask questions, the leader acknowledges the validity of their opinions but fails to take any action.
Several high-level managers and old clients left this fitness club, leading to financial difficulties and a merger with another large fitness corporation. In 2005, the Bally Total Fitness Corporation took over this club and introduced a new leadership system. The new leader utilized the theory of transformational leadership, using intellectual stimulation and inspirational motivation to enhance employee vision. Transformational leadership becomes crucial when companies are in uncertain markets.
To stay competitive in the environment, a new recombination must be innovated (Gill, 1997). Firstly, he restructured the current staff while reducing their numbers. Secondly, he recommended that each manager obtain ACE certification to utilize their personal time effectively. Thirdly, he implemented new reward regulations, including providing a complimentary nutritional breakfast for early morning shift employees. Additionally, the company will organize an annual outdoor sports event for employees and their families on the anniversary day. In addition to these initiatives, in order to retain regular customers and attract potential ones, various types of exercise classes were arranged specifically for different age groups.
One aspect of his character is that he is patient and willing to listen to the suggestions of his employees regarding the development of the team. For example, one employee suggested that the team could print their own
monthly wellness tips that focus on their current level. After one month, this suggestion was implemented and the team's first wellness tip circular was displayed in the team information board. The theory of motivation, according to Horner (1997), suggests that employee satisfaction can be seen as an incentive, which is just one way in which employees can achieve their goals. Other theories of motivation focus on the leader's behavior and how it influences their subordinates. Additionally, Alderfer (1969:142) proposed a hierarchy of concrete needs consisting of three categories: existence needs, relatedness needs, and growth needs. It is possible for individuals to be motivated by multiple needs simultaneously.
The use of a logical leading direction method by the new director resulted in a significant increase in profitability and expansion of the business. The marketing department also outperformed its competitors. However, the key factor behind this success was the new director's effective leadership theory and practical implementation.
Decision
To summarize the role of leadership in sports and leisure organizations, the behavior of the leader can impact the psychology of each team member, and the leader's chosen management method determines whether the company will succeed or fail. Based on the author's experience with two leaders in a real sports and leisure organization, it is more important and practical to focus on creating motivation for employees and promoting their growth, rather than relying solely on traditional leadership theories. The leader's ability to guide the company's development path becomes crucial.
Consequently, the most effective ways to manage modern organizations is by detecting new direction techniques through experience.
Mention
- Alderfer, C.P. ( 1972 ). Being, Relatedness and Growth, Human Needs in Organizational Settings, New York,
The Free Press.
3rd edition., London, Tavistock.
Transformational Leadership
. Melbourne, Pitman Publishing.
Managing people in sport organisations: A strategic human resource management perspective
. Oxford, Butterworth-Heinemann.
and Grunwald, W. ( 1980 ).
Fuhrungslehre: Grundlagen der Fuhrung.
Berlin, Walter de Gruyter.
Organizational Behavior and Human Performance,
4, 142-175.
Van Sters and R.H.G.Field (1990). The evolution of leading theory.
Journal of Organizational Change Management, 3 (3), 29-45.
Leadership Trust Foundation, 16 March, 1994.
(2003). Towards a General Theory of Leadership. Leadership Trust, 31 January, 2003.
( 1939 ) . Patterns of aggressive behavior in by experimentation created societal climes. Journal of Social Psychology , 10, 271-301.
(1979). How competitive forces shape strategy. Harvard Business Review, 57(2), 137-145.
The article "The beginning of vision: magnetic versus ideological leading" published in The Leadership Quarterly (13, 343-77) discusses the theoretical position for strategic human resource management presented by Wright, P.M. and McMahon, G.C. (1992) in the Journal of Management (18, 2, 295-320). Additionally, this article mentions Heathfield, S.M.
(2010). [on-line]. Last
accessed 23 March 2010 at: hypertext transfer protocol: //human resources.about.com/od/glossary/f/hr_management.htm.
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