5OS06 Leadership and management development

5OS06 Leadership and management development

Instructions:

• Demonstrate a wide range and confident level of knowledge, understanding or skill (as appropriate).
• Include strong examples that illustrate the point being made, that link and support the answer well.
• Apply answers to the case organisation.
• Answers are clear, concise, and well argued, directly respond to what has been asked.
• Include reference to academic theories, models where appropriate.
• Mention as much as possible points from the power point presentation and handouts for each question and describe them by your words using other sources.

Case organisation

You have recently taken up the role of Learning and Development Manager at Highgate Opticals who are a medium-sized company that manufacture designer eyewear. They are experiencing rapid growth due to an increase in their customer base and are aware that they now need a strategic formalised learning and development plan to support the business.

During your first meeting with the board, you ask why on reviewing the company’s performance and development records there is an absence of any leadership and management development. Further discussion reveals that the focus of the company has always been on developing the core workforce and that the majority of the line and senior managers have been promoted from within. Therefore, they have not felt a need to develop the management team.

Throughout the remainder of the meeting, they are extremely receptive to your ideas and welcome insight and understanding of this area of learning. They ask you to prepare a report to enlighten them.

To achieve this, you should provide a written response to each point in each section, making appropriate use of academic theory and practical examples to expand your response and illustrate key points.

Section one

You are required to:

1. Analyse the external factors that drive the need for leadership and management within the organisation. (AC 1.1)
2. Explain the key differences between leadership and management roles and styles and the implications of each for organisational effectiveness. (AC 1.2)
3. Compare the different knowledge, skills and behaviours required for leadership and management in organisations. (AC 1.3)
4. Evaluate the different concepts and range of approaches that are available for effective leadership and management development. (AC 2.2)

Section two

Section two should provide understanding of the role of people professionals in supporting leadership and management initiatives, the range of stakeholders involved, and the impact of successful initiatives on the organisation.

You are required to: 

5. Evaluate the indicators of successful leadership and management development initiatives. (AC 3.1)

6. Assess the impact and importance that development strategies have on organisational culture, strategy, reputation and performance. (AC 3.3)

SOLUTION

5OS06 ASSIGNMENT ANSWERS

5OS06 Section One Answers

AC 1.1 Analyse the external factors that drive the need for leadership and management within the organisation.

Leadership refers to an individual’s ability to understand the capability and motivation of others and leverage these aspects to attain a shared goal. On the other hand, management entails the process of developing, planning, and implementing initiatives, policies and tactics from the top down successfully (Quilliam, 2023). Both leadership and management are essential for a variety of reasons: they ensure organisational vision, mission, and strategic goals align with their strategies and culture (George, 2023). In a rapidly changing business climate, leadership is tasked with inspiring innovation and taking the lead, while management is tasked with the successful implementation of all the necessary changes by ensuring that operations run smoothly (George, 2023).

External factors

Some of the key external factors include:

1. Technological Developments

The rapid pace of technological advancements and the extent of their impact in the workplace requires leadership which is essential to set a technology-focused vision and foster a culture of innovation. On the management side, there is a critical need to ensure that the implementation and management technology are done efficiently, to ensure that the organisation remains competitive (George, 2023).

Pros

• Embracing technology can make an organisation more innovative.
• Technological advancements can enhance operational efficiency.

Cons

• Technological changes can meet resistance.
• Over-reliance on technology can expose an organisation to issues such as cybersecurity threats.

1. Changing workplace demographics

Changing demographics especially due to globalisation drive the need for leadership and management. For instance, strong leadership is needed to set the tone for aspects such as organisational changes, diversity and inclusion, promoting innovation, etc. Management on the other hand is crucial for implementing policies that ensure the organisation benefits as it adapts to new ways of working (George, 2023).

Pros

• An increasingly globalised market provides opportunities for growth if there is sufficient leadership and management to guide the organisation through different demographics.
• Having a diverse workforce within the organisation can bring unique perspectives, foster innovation and enhance the quality of products or services.

Cons

• There is a need for strong leadership and management to manage a diverse workforce effectively.
• Differences in demographics may lead to conflicts in the workplace.

1. Diversity and inclusion

Diversity and inclusion drive the need for leadership and management. Leadership is needed to set the vision for an inclusive organisational culture, while management is needed to ensure that policies and practices are put in place to support diversity and inclusivity policies as well as to address challenges as they arise.

Pros

• A diverse and inclusive workforce can foster innovation and creativity.
• A commitment to diversity and inclusion can place the organization in a position that enables it to attract a wide range of talent.

Cons

• Increased chances of resistance due to changes in the organisational culture.

AC 1.2 Explain the key differences between leadership and management roles and styles and the implications of each for organisational effectiveness.

Although used interchangeably, leadership and management are two distinct roles within an organization. Table 1 below highlights some of the key differences between the two

Table 1: Differences between leadership and management

Theoretical approaches to leadership and management roles 

1. Management Control Theory

Management Control theory is of the notion that for an organisation to maintain performance, all the actions, strategies or initiatives within the system should be aligned with the organisation’s overall goals and objectives (Silva et al., 2021). Under this theory, management is primarily focused on maintaining control and exercising authority within the organization. As a result, they are tasked with the responsibility of overseeing an organisation’s day-to-day operations, ensuring that tasks are completed efficiently, and enforcing policies and procedures (Silva et al., 2021).

It impacts organisational effectiveness in several ways. On the positive side, this style of management can lead to organisational stability and increased efficiency within the organization. on the negative side, it may stifle innovation and lack of adaptability.

1. Transformational Leadership Theory

The Transformational leadership theory advocates that leaders should focus on motivating and encouraging their teams to grow in a manner that benefits both the professionals in terms of personal growth and careers as well as the future of the organisation (Indeed, 2022). Transformational leaders are those who inspire and motivate their teams to attain a higher level of performance. Leaders under this theory are described as having long-term vision and the ability to create a shared sense of purpose within an organisation (Indeed, 2022). They mostly lead through charisma, are focused on inspiring and empowering their teams, as well as promoting personal and professional growth.

They can impact organizational effectiveness through increasing employee engagement, increasing creativity, and creating a shared vision that positively impacts performance. They also create an organisational environment that promotes a culture of continuous improvement.

Theoretical approaches to leadership and management styles

1. Transactional Leadership

Transactional leadership is a style of leadership where leaders heavily rely on rewards and punishments to push subordinates to attain the organisation’s objectives and optimal job performance (Lutkevich & Pratt, 2022). As a result, transactional leaders use a system of rewards and punishments to motivate their team. They attain this by setting clear performance expectations and carefully monitoring employee performance against these set expectations. Their leadership style is more task-oriented (Lutkevich & Pratt, 2022).

Transactional leaders can impact an organization’s effectiveness due to their ability to create short-term productivity gains. However, their style can also hinder employee creativity and intrinsic motivation in the long run.

AC 1.3 Compare the different knowledge, skills and behaviours required for leadership and management in organisations.

John Kotter’s “Leaders vs. Managers” model

John Kotter’s “Leaders vs. Managers” model reiterates that leadership and management are distinct roles. They can vary on the basis of knowledge, skills, and behaviours. Although both roles are essential within an organization, they tend to serve different purposes and contribute differently to organisational success. Under this model, leaders provide vision and direction, while managers make sure that an organisation’s day-to-day operations run efficiently (Algahtani, 2014). This model can be used as a valuable framework for comparing the knowledge, skills, and behaviours needed for effective leadership and management within an organisation.

1. Knowledge

Under this model, leadership knowledge is characterised as being future-oriented and visionary, while management knowledge is characterised by the ability to be aware of the present while focusing on operational efficiency (Algahtani, 2014).

1. Skills

Leadership skills revolve around the ability to inspire, empower, and foster innovation, among employees. In contrast, management skills tend to be task-focused and put a lot of emphasis on operational efficiency. The key difference under skill is that leadership focuses on people, while management focuses on tasks (Algahtani, 2014).

1. Behaviours

Under behaviours, leadership aims to inspire, empower, and create a dynamic organisational culture, while under management behaviours place a heavy focus on control, organisational structure, and maintaining overall stability (Algahtani, 2014).

A competency framework is an important tool that can be used to outline the knowledge, skills, and attributes that employees need to possess to conduct their duties successfully (MindTools, 2023). This is because having a comprehensive set of competencies for each position is valuable since it highlights the types of knowledge, skills and behaviours which it needs to attain its objectives.

Table 2: Different knowledge, skills and behaviours required for leadership and management

AC 2.2 Evaluate the different concepts and range of approaches that are available for effective leadership and management development.

Approaches for Leadership and Management Development

1. Coaching and Mentoring

Coaching and mentoring are learning approaches that utilise one-on-one discussions designed to improve an individual’s skills, knowledge, or performance at work (Quilliam, 2022).

Pros

• Possible to offer tailored learning based on their specific developmental needs.
• Facilitates a faster transfer of knowledge and experience.

Cons

• Lack of standardization may have an inconsistent impact on the learner and the organisation.
• It heavily relies on the availability of proper mentors and coaches.

1. On-the-job training

Under this approach, learning is conducted by observing and/or receiving assistance from a co-worker with more expertise performing a particular task. It is characterised by: one-on-one training at the trainee’s workplace; allotted time; and it is a specified, scheduled, and organized activity (Hayden, 2022). Under this approach, the training program should ensure that: trainees are able to implement what they have learned to improve recollection; instructions are paced so as to avoid informational overload (Hayden, 2022). Additionally, it is vital to ensure that the trainee’s current level of knowledge, skill, or behaviour is taken into account before the commencement of the L&D program.

Pros

• It is cheap since it eliminates costs linked to travel and hiring outside expertise.
• It is to tailor it to the needs of the organisations.
• It is easy to set up and can be concluded in a short time (BBC, 2023).

Cons

• It is unlikely that the training will bring in new perspectives or skills into the business.
• There are chances that the individual providing the training may not be ineffective.
• It can lower productivity levels since the training is usually carried out by other employees (BBC, 2023).

1. Sharing knowledge

It is becoming increasingly popular to have managers teach others in order to expand their knowledge. it is mostly characterised by using an open question-and-answer exercise with an upper-level manager, and it is facilitated by the organisation’s L&D team, to foster learning on both sides (Quilliam, 2022).

Pros

• It improves organisational performance.
• It leads to better and faster decision-making.
• It enhances employee growth and development.

Cons

• It may be challenging to find efficient ways efficiently capture and share knowledge
• It may be difficult to constantly share, and reuse knowledge.

5OS06 Section two Answers

AC 3.1 Evaluate the indicators of successful leadership and management development initiatives.

1. Assessing employee turnover and retention rates

Several months after leaders or managers within the organisation engage in leadership development programs, the organization can monitor its attrition and retention rates to assess the effectiveness of its leadership and management development initiatives (Creighton, 2019). For example, if the organization observes a rise in turnovers when newly trained managers take charge, it may indicate there is a potential issue with program effectiveness.

1. Monitoring employee productivity rate

Effective leaders can inspire their employees to maximize their productivity while minimizing unnecessary stress. Thus, following the completion of an organisation’s leadership and management development initiatives, the organisation should anticipate an upswing in the employee’s efficiency levels if the program is a success (Creighton, 2019). If they notice that there is a decline or stagnation within the workforce, then there might be an issue with the initiative.

1. Assess employee feedback and evaluations

To gain real-time insights into the performance of leaders the organisation can seek feedback from the employees under the newly trained management. It can then send out feedback requests through surveys and assessments to gauge the success or failure of the initiative based on the approaches and performance of newly trained leaders (Creighton, 2019). This approach can provide the organisation with valuable insights into the areas where its leadership and management development initiatives are succeeding and where improvements may be needed.

1. Monitoring organizational Performance

After leaders have participated in leadership and management development initiatives, the organization needs to check if it is receiving positive feedback either from its stakeholders or customers. They also assess performance by checking whether its daily interactions and business transactions are more aligned with your organisation’s culture, goals and objectives (Creighton, 2019). Additionally, they can assess performance in terms of profit margins and revenue collection. The effectiveness and success of its leadership and management development initiatives can be reflected in the overall success of the organization.

AC 3.3 Assess the impact and importance that development strategies have on organisational culture, strategy, reputation and performance.

Successful leadership and management development initiatives can significantly impact an organization’s culture, strategy, reputation, and performance. As a result, it is important for organisations to carefully monitor these impacts, and evaluate whether they align with their strategies and organisational goals. During the assessment, they have a chance to proactively address any potential negative consequences to enhance the effectiveness of their programs.

Positive impacts

1. Culture

A successful leadership and management development initiative can create a positive organisational culture that can foster a culture of continuous learning, adaptability, and innovation. This is because in most cases, employees tend to become more receptive to change and are willing to take calculated risks to enhance organisational improvement (Edwards et al., 2021). This shift can enhance employee engagement, collaboration, communication, and sharing of knowledge.

1. Strategy

An effective leadership and management development initiative can align leadership and management with the organization’s strategic goals. These initiatives ensure that leaders possess all the necessary skills needed to implement their strategic plans, adapt to trends in the market, and make informed decisions (Edwards et al., 2021). Having well-trained managers means the organisation can execute its strategies efficiently and effectively.

1. Reputation

A high-quality leadership and management development initiative can positively influence the organization’s reputation. For instance, it can create positive media coverage, increasing its ability to attract talent and investors (Men, 2011). A reputation for strong leadership can also enhance customer trust and loyalty.

1. Performance

An organisation with improved leadership and management practices can have a positive impact on performance. This can be indicated by a rise in revenue, profitability, and customer satisfaction. Effective leadership and management can inspire and motivate teams to perform at a higher level (Simpson, 2022).

Negative impacts

1. Resistance to change

There is always a possibility that leadership and management development initiatives can meet resistance from its workforce, especially from employees who are comfortable with the existing approach. To ease this, organisations can come up with initiatives such as change management strategies, improved communication, and involving employees in the decision-making process.

1. Employee inequality

If a leadership and management development initiative is not implemented inclusively, it may inadvertently disempower or disadvantage certain groups within the organisation. To prevent this, organisations need to provide clear criteria for selection, communicate the benefits of the program and promote a transparent process.

References

Algahtani, A. (2014) ‘Are Leadership and Management Different? A Review’, Journal of Management Policies and Practices, 2(3). doi:10.15640/jmpp.v2n3a4.

BBC (2023) Advantages and disadvantages of on-the-job and off-the-job training, BBC News. Available at: https://www.bbc.co.uk/bitesize/guides/zrm3382/revision/4.

Creighton, K. (2019) How to Measure the Impact of Your Leadership Development Programs, HR Daily Advisor. Available at: https://hrdailyadvisor.blr.com/2019/08/21/how-to-measure-the-impact-of-your-leadership-development-programs/.

Edwards, M. et al. (2021) The impact and effectiveness of leadership development activities for senior leaders, Institute for Employment Studies. Available at: https://www.employment-studies.co.uk/resource/impact-and-effectiveness-leadership-development-activities-senior-leaders.

George, S. (2023) Change Management, CIPD. Available at: https://www.cipd.org/uk/knowledge/factsheets/change-management-factsheet/#changemanagementprocess.

Hayden, D. (2022) Methods of delivering learning interventions: Factsheets, CIPD. Available at: https://www.cipd.org/uk/knowledge/factsheets/learning-methods-factsheet/?_gl=.

Indeed (2022) What Is Transformational Leadership Theory? Available at: https://www.indeed.com/career-advice/career-development/transformational-leadership-theory.

Lutkevich, B. and Pratt, M.K. (2022) Transactional Leadership, CIO. Available at: https://www.techtarget.com/searchcio/definition/transactional-leadership#:~:text=Transactional%20leadership%2C%20also%20known%20as,on%20an%20exchange%20or%20transaction.

Men, L.R. (2011) Leadership style and organizational reputation, Institute for Public Relations. Available at: https://instituteforpr.org/leadership-style-and-organizational-reputation/.

MindTools (2023) Developing a Competency Framework, MindTools. Available at: https://www.mindtools.com/ad66dk2/developing-a-competency-framework.

Quilliam, G.G. (2022) Management Development: Factsheets, CIPD. Available at: https://www.cipd.org/uk/knowledge/factsheets/management-factsheet/#Management.

Quilliam, G.G. (2023) Leadership in the Workplace, CIPD. Available at: https://www.cipd.org/uk/knowledge/factsheets/leadership-factsheet?isid=enterprisehub_uk&ikw=enterprisehub_uk_lead%2Fwhy-every-manager-should-lead_textlink_https%3A%2F%2Fwww.cipd.co.uk%2Fknowledge%2Fstrategy%2Fleadership%2Ffactsheet#gref.

Silva, R. et al. (2021) An Overview of Management Control Theory, Academy of Strategic Management Journal. Available at: https://www.abacademies.org/articles/an-overview-of-management-control-theory-11272.html.

Simpson, O. (2022) The impact of effective leadership on organisational performance, Digital Marketing & Strategy Training Programmes. Available at: https://www.ascento.co.uk/blog/the-impact-of-effective-leadership-on-organisational-performance.

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