Unit 2 (Managers, Leadership & Decision making) Flashcards
(43 cards)
What is the definition of leadership?
The action of leading a group of people or an organisation. (to show direction)
What is the definition of management/a manager
The process of dealing with or controlling things of people, the responsibility for and control of a company or organisation.
What is an Autocratic leadership?
Where management make decisions with little or no input from employees.
List some features of an autocratic leadership.
- Leaders are dominant and bossy.
- No communication with subordinates.
- Works well with low skilled staff.
- Similar to centralisation (managers making all decisions)
- Managers quickly establish rules + policies to be followed
What are some benefits of an autocratic leadership?
- Clear chain of command in hierarchy
- Works well in environments where clear direction is needed
- Quick decision making
- Useful in stressful/life or death situations
What are some drawbacks of an autocratic leadership?
- Negative impact on employee motivation
- Ignores creative solutions to problems employees may have
- Relies heavily on competence of leader
- Creates a culture of dependency
What is a democratic leadership?
Allows employees to help in the decision-making process.
List some features of a democratic leadership?
- Employees have more participation
- Most effective style of leadership (can lead to higher degree of participation)
- Suitable for companies with lots of creative employees
What’s an example of a company that uses an autocratic style of leadership and why?
McDonald’s uses an autocratic style of leadership as it is a franchise, therefore needs full control to be able to run.
What are some benefits of a democratic leadership?
- Employees motivated as they feel valued
- Encourages employees to grow + develop into their roles
- Suitable in situations where employees are skilled
- Business benefits from employee ideas
What are some drawbacks of a democratic leadership?
- Decision making slower
- Depends on skills & knowledge of employees
- Staff may be unreliable
What is paternalistic leadership?
Makes the right decisions for employees their responsible for.
List some features of a paternalistic leadership.
- Dominant authority figure who expects loyalty and trust from their employees
- Takes staff welfare into account
What are some benefits of a paternalistic leadership?
- Loyalty from employees, feel cared for
- Low rate of employee turnover, reduces recruitment costs
- Effective in environments with lots of low skilled workers who need direction and guidance
What are some drawbacks of a paternalistic leadership?
- if wrong decision made, employees demotivated .. productivity decrease
- Not using skills and knowledge of employees
- Still dictatorial style of leadership
What is Laissez-Faire style of leadership?
Employees can carry out activities and make decisions freely.
List some features of Laissez-Faire leadership?
- Relaxed environment + little direction and guidelines
- Leader is still ultimately in charge for the decisions made
What are some benefits of a Laissez-Faire leadership?
- Suitable for creative environments such as artistic studios
- Encourages employees to grow and develop
- Encourages innovation, often found in high tech industries
- Faster decision making
What are some drawbacks of a Laissez-Faire leadership?
- Lack of supervision may lead to poor productivity + lack of motivation
- Can be regarded by employees and customers as avoidance of responsibility
- Can lead to blame culture when objectives are not met
What are the 5 levels of the Tannenbaum and Schmidt continuum?
Tells, Sells, Consults, Shares, Delegates
What does shares mean in Tannenbaum and Schmidt?
Manager sets limits but lets employees make decisions.
What does consults mean in Tannenbaum and Schmidt?
- Manager presents idea then invites questions.
- Manager presents problems then asks for suggestions.
- Manager presents possible solution which could be changed.
What affects what type of leader you are?
- Skill level of employees
- How important decision is
- Aims and objectives
- Type of business
- Situation
What are the two types of decision making?
Scientific decision making and intuitive decision making.