Significance Of Leadership In Business
Leadership is the most basic role towards the successful operation of any organization. There are many leadership styles which lead to different achievements depending on what style is used. Leadership directly impacts on the employees negatively or positively which leads to demotivation or enthusiasm respectively. In the modern world geopolitics and modern economics have shaped the way companies operate and necessitated the need for better leadership skills in order to keep up with global demands and the competition. Organizations that plan to remain competitive have to strategize on their leadership styles for future validity of the organization. This paper will give suggestions of some of the aspects that should be adopted by companies in order to enhance future leadership and competitiveness. It further evaluates the theories of change, strategy and leadership in order to have a better understanding of what effective leadership entails.
Future success of an organization entails a series of factors and strategies that help to align a company towards achievement of its goals. These strategies include; improving organizational communication, data analytic methods, conducting gap analysis often, coming up with employee motivation programs and choosing the right leadership styles (Shinn, 2012). These are the main strategies that impact on an organization greatly if not considered. Many theologians have researched these factors and come up with theories of leadership and management that are aimed at helping leaders and managers to plan for the future of their organizations.
One such theologian is Peter Drucker who is considered to be the inventor of modern management. In order to understand how an organization should plan for the future, it is important to understand what leadership and management entails. According to Drucker, effective management is key to success, not effective leadership. He argues that leadership is more aligned to one’s character and behavior hence leadership sometimes could be effective but damaging on the other side. He gives a clear example of Hitler as an effective leader who enforces his ideologies by ignoring and tarnishing the ideologies of his subordinates. Drucker therefor affirms that management is a better alternative of leadership since it entails adoption of skills and strategies of operation that can be easily changed. In order to remain competitive therefore, it is important for managers to adopt better skills and styles of management such as pace setting where managers lead their employees by example (Silverman, 2014).
Strategic management is another theory that explains the need for good management in an organization. According to Gary Hamel, strategizing is imperative for any viable organization. Strategizing not only helps the company to understand the future trends and dynamics but also helps managers to plan and implement strategies that will align the operations of the organization towards better market capitalization (David & David, 2017). Gary emphasizes on the need to strategize before starting operations. He states that the only way a company can be successful is only through strategic approach to management. By strategizing, managers are able to outline their future goals and compare them to the current operations in order to establish whether the goals are viable.
The theory of change affirms why shifting from unproductive styles is important for the survival of an organization. Drucker believes that organizations should shift from outdated methods such as authoritative approach of management and change to styles that promote ethics and integrity within the organization. Change brings about a reformed strategy and attitude of the workforce which greatly benefits the company towards future achievements.
