The Difference between Leadership and Management

There is a wealth of theories regarding how to be a better leader and the benefits this can provide to your company. Equally, good management is often cited as the critical differentiator between companies, and the buck stops with the manager when things don’t go ‘according to plan.’ While most people can probably think of an example of a ‘good’ leader or manager they have worked with, or would like to work with, just what is it that typifies these individuals in the first place?

Psychology’s conception of Leadership and Management

Are leadership and management a series of traits that one must possess in order to be labelled “leader” or “manager”? Or are they purely situational?  We all have the potential within us to be leaders or managers, and will display these given the right circumstances. 

Psychologists tend to integrate the perennial ‘nature vs. nurture’ debate more often than the popular media might have us believe. For example, attitudes seem to have softened over time with respect to various aspects of personality, so that an integrationist approach is adopted. This suggests that aspects of personality such as extroversion or neuroticism are not fixed at birth, nor can they be entirely trained into us. Moreover, we all have the capacity to display certain behaviours, but the degree to which it is displayed will depend on our own experiences. That is to say it is an interaction between nature and nurture.

This is useful to know as it supports the view that we all have the capacity to be effective leaders or managers and it is a question of having the right set of circumstances that allow us to express these abilities. I have noticed this personally with colleagues of mine leading in very situational ways, but not necessarily displaying these qualities in other settings. You can probably bring to mind people you know who ‘rise to the occasion’ in situations requiring situational leadership, but who are more reticent at other times.

Equally, I have known many people who either through choice or design would take the lead in every situation, at any opportunity, no matter where or how. It is interesting to note that their effectiveness in leading others depended a lot on their personal qualities. Common signs of success were that people felt that such ‘leaders’ could be trusted, that they were acting in the interest of the group and that they were willing to listen to and adopt the views of others. There are no doubt many other important factors, and they serve to show that we may be among a larger group or organisational workforce, but want to feel that our input and views are being respected.

Leadership or Management? What's the difference?

Kotter (1990) states: ‘Management is about planning, controlling and putting appropriate structures and systems in place, whereas leadership is about anticipating change, coping with change and adopting a visionary stance’.  Zaleznik (1986), speaks of the difference between that two in terms of the energy that either group puts into the organisation they work within:

“Managers are often seen as fairly passive operators that try to keep the everyday to day running of the company going whilst leaders are proactive, empathetic and are attracted to situations of high risk where the rewards for success are great”

While Zaleznik casts managers in a less complimentary light, their potential benefit is recognised by both definitions. Implementing effective systems that will keep a company running as normal, will undoubtedly involve moving the company forward. This is due to the constant drive to outperform the market, inevitably requiring constant growth when operating in successful economies.

Both these definitions agree that leaders are more forward thinking than managers. Rather than ensuring the efficient running of an already operational system, a successful leader would correctly anticipate change and use this to make changes early. Consistently taking correct decisions in this way explains why leaders can be seen as ‘visionary.’

Both definitions also draw out the importance of being proactive as a leader and build on the foresight that leaders also have. Whereas others, including managers, may have thought about making or suggesting these changes, a leader will truly drive the change process forward. That means ‘integrating vision into corporate action’ and as Zalenik states, this can be a high risk strategy, as change is rarely greeted favourably in an organisation where processes are ‘ticking along’ and even less so when the company is performing well. Perhaps counter intuitively though this is the precise time when many successful leaders choose to change a winning formula; a choice which only time will tell has been successful. The leader must engender respect, faith and trust of his team in order to win their support for ideas that might not work. Is this ability the key differentiator?

While it is useful to differentiate between management and leadership, one of the most useful things it may draw out are the characteristics that will positively differentiate a manager from his peers and elevate them to the very top levels of an organisation. Critical is the idea that to be thought of as a good manager you do not necessarily need to innovate; for a leader this is essential. This is in keeping with the idea that many managers possess the untapped potential to be leaders, and if they are able to go the extra mile they may be thought of as leaders. This idea suggests it is possible to create an imbalance between the leader and manager roles: too many leaders and not enough managers. However I would suggest this would be a good problem for an organisation to have, and certainly more attractive than the alternative- a lack of inspirational leadership.

References-

Leadership Seminar, London Metropolitan University, 2005

The Myth of Resistance, Marius Van Huijstee. http://www.thompsondunn.co.uk/newsletter1/page3.html

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Read these articles in full by clicking the links below:
 
The CEO and Talent Management

Leadership - Is there a universal leadership style?

Leadership Reflections

Authentic Leadership - "Know thyself"

The Difference Between Leadership & Management  

Leading from the Edge

The Crisis of Leadership