Leadership and management play a key role in augmenting organizational effectiveness. It the leadership that influence and direct the organization towards reaching the organizational goal and the management helps to execute such process smoothly and effectively. There is a major difference between leadership and management as both have different roles to play within an organization. Various characteristics and strategies include leadership and management practices that help to take the organization towards its mission and vision proficiently. However, with the changing business environment and growing competition within the market, theories and practices of leadership and management are altering and leading towards concerning social responsibility and sustainability at the same time. Concerning such fact, enterprise leadership motivates leaders to concentrate on the organizational results and progressing mutually rather than focusing only on the business unit as such (Bonau, 2017). Understanding the differences between leadership and management will provide a substantial understanding of the factors that differs them majorly and their importance. Besides, identifying the characteristics of a socially responsible leader will assist in understanding the role of enterprise leaders in socially responsible organizations. Thus, this report will help assess the differences between management and leadership and will provide a significant and in-depth discussion on the role of enterprise leaders in socially responsible organizations effectively.
There are major differences between management and leadership which can be identified in several research papers that have been performed by researchers in the past. Leadership and management both are significant for an organization. According to a research study by Kotterman, (2006), states that leaders are viewed as charismatic and admired by the public with high esteem, however, in case of managers, the outlook towards them are thought of as the organization’s taskmaster with whip and bullhorn in both hands to control and manage the firm effectively (Kotterman, 2006). On the other hand, Maccoby (2000), in his research study stated that the difference between management and leadership can be identified by looking at their function and relation aspects within the workplace (Maccoby, 2000). The author has stated that management involves a function such as planning, budgeting, evaluating, and facilitating (Maccoby, 2000). Whereas, in the case of leadership, it involves as a relationship that leads to selecting talent, encouraging, mentoring, and building trust among each other or employees to attain the set goal mutually and effectively (Maccoby, 2000). Maccoby, (2000), has also stated that as pet the current business environment, manager are mainly knows as organization’s administrators who plan, make budgets, and monitor the overall progress of the company (Maccoby, 2000). However, the leader, on the other hand, helps and influence organizations and the people involved changing (Maccoby, 2000). The change is in regard to gaining competitiveness and effectiveness towards reaching the set organizational goals, mission, and vision effectively and jointly (Maccoby, 2000). Besides, the research stated by Kotterman, (2006), concerning the historical perspective, management is totally a new concept and phenomenon, occurred with the emergence of large and complex organizational structure (Kotterman, 2006). Concerning such fact, it is the manager and management that help in bringing order and stability to the massive amount of the organization effectively, else historically it was the leaders and their unique abilities that used to lead and control the organization proficiently (Kotterman, 2006).
In today’s era of business, concerning towards society and undertaking the responsibility for betterment is crucial to ensure sustainability within the competitive and changing market. Concerning such fact, it is the leaders’ and their leadership that leads the organization towards reaching such a goal and ensures sustainability at the same time. There are several types of leadership such as inspirational leadership which has been highlighted by many research scholars to provide a substantial understanding of its framework and effectiveness. As stated in a research study by Bonau, (2017), inspirational leadership plays a key role in augmenting organizational effectiveness and influencing the overall firm to progress mutual to attain set goals successfully (Bonau, 2017). The style of inspirational leadership is effectual and influential that focuses primarily on the set vision which is central to the perspective of inspirational leadership (Bonau, 2017). According to a study by Robbins, Bergman & Coulter, (2016), stated social responsibility as a key factor to consider by organizations to ensure sustainability within the market (Robbins, Bergman & Coulter, 2016). A social responsible leader and organization views things differently from a societal perspective and act accordingly to bring values and betterment within the community positively (Robbins, Bergman & Coulter, 2016). It is the social responsiveness of the leader that motivates, directs, and influence the people or the workers to move accordingly towards doing something good for the society as a whole (Robbins, Bergman & Coulter, 2016). Besides that, Lyubovnikova et al., (2015), stated that authentic leadership is a necessary leadership style and quality that associates with the socially responsible leader as defined in the study as a pattern of behaviour of the leader that draws and promote positivity, greater self-awareness, and moral values internally, with positive vibes and perspective; and effectual transparency to work together in attaining social responsibility goals Lyubovnikova et al., (2015). Thus, this indicates that the stated leadership qualities and roles are necessary and evident towards becoming a socially responsible leader that brings value and effectiveness within the organization and society as a whole.
Management and leadership both are different factors and have different roles to play. They have major differences that have been identified by reviewing several journal articles researched by previous researchers related to the topic. Concerning such fact, it has been understood that the differences between leadership and management are crucial to understanding to act accordingly and design business process effectively. Besides that, the characteristics of a socially responsible leader have provided a substantial understanding of the roles, qualities, and abilities to know their value and effectiveness while applying in the real business world or scenario. Thus, being a socially responsible leader is important in today’s’ business environment where sustainably is the key to ensure overall effectiveness.
Bonau, S., 2017. How to become an inspirational leader, and what to avoid. Journal of Management Development, 36(5), pp.614-625.
Kotterman, J 2006, Leadership versus management: What's the difference? The Journal for Quality and Participation, Vo. 29, No. 2, pp.13-17.
Lyubovnikova, J, Legood, A, Turner, N and Mamakouka A 2015, How Authentic Leadership Influences Team Performance: The Mediating Role of Team Reflexivity, Journal of Business Ethics Vol. 141, No. 1, pp.59-70.
Maccoby, M 2000, The human side: Understanding the difference between management and leadership, Research-Technology Management, Vol. 43, No.1, pp.57-59.
Robbins, S, Bergman, R & Coulter, M 2016, 'Chapter 5: Social responsibility and managerial ethics' in Management, 8th ed, Pearson Australia, Sydney, pp.146-180.
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