7LMD Overview

Learning Outcomes:

1. Explain and critically analyse the concepts of leadership and management and their application in an organisational, social, environmental and multicultural context.

6. Explain and evaluate the role of leadership and management development in enhancing and developing organisational competence.

7. Critically assess and evaluate approaches to the development of leadership and management in international and global contexts.

8. Act ethically and professionally with a demonstrated commitment to leadership and management development and to continuous personal and professional development.

Assessment brief/activity

Read the case below and respond to the questions that follow:

Garvey Group is a family-owned retail and hotel company in Ireland, with 13 stores and hotels across the south of the country. A core belief is that investment in employee’s learning and talent development produces results to the bottom line. A modified balanced scorecard (Kaplan and Norton, 1996) is used to provide a framework for integrating learning and development into the overall business strategy.

A corporate recruitment and training plan is prepared annually, costed and evaluated through measures such as sales and profitability. Linked to this a similar annual plan is prepared for each branch. Existing employees’ training needs are identified using the appraisal system, with the dual objectives of both providing opportunity for individuals to self-identify learning needs as well as informing a needs analysis conducted by HR for each job role. Induction and initial training for new starters is also planned at store level.

The company uses a competence-based framework, with much emphasis put on behavioural competences applicable to all jobs, such as customer care, working as a team and ‘subtle selling’. The framework informs job design, selection and reward as well as learning and development. For managers in particular, as well as the core competences great emphasis is placed on leadership skills, decision making, strategic thinking and interpersonal skills based on high emotional intelligence. These skills are seen as essential for achieving business strategy, because sales, repeat business and reputation are so fundamental to corporate performance in this sector and managers are responsible for ensuring all staff contribute to achieving those measures.

When management training and development is planned, objectives are set for metrics such as increase in sales and return on investment.

Source: Based on a case in Stewart and Rigg, 2011

1. What contribution can leadership as opposed to management development make to successful performance in the Garvey Group?

2. How can theory related to leadership inform leadership development in the Group?

3. How can and should HR professionals work with others within the Group to ensure effective leadership development?

All submissions should be in the region of 3,000 words plus or minus 10% and references should be added in the Harvard Referencing Format. There is a Harvard Referencing tutorial in the Resources Area which outlines the formatting required.

1. What contribution can leadership as opposed to management development make to successful performance in the Garvey Group?

Leadership is viewed as both a practical and research topic that encompasses the possibility of leading, motivating, or even guiding people. It is described as the capacity to persuade others to assist with or participate in a specific task or the accomplishment of a specific goal within a specified time frame. In comparison to management, leadership is more engaging in terms of relationship with subordinates. Leaders push for deep engagement; they are more aware of what people do, how they do it, their obstacles, and their perspectives and solutions on a variety of subjects. Additionally, leadership entails going above and beyond one's normal responsibilities in order to accomplish one's objectives. In contrast to management, who just delivers commands to be followed without regard for how the activities will be carried out, leaders provide guidance, advise, and direction to their people. Additionally, there are other characteristics related with leadership, including the following:

Leaders are more intelligent because they grasp the entire process and how things are done, as well as why things are done in a certain way. This increases their involvement and interest in their work, which results in increased productivity as compared to managers.

Assertiveness- Leaders are also extremely assertive in the sense that they know what they want and make decisions in the best interests of the company. They are willing to take risks and make the most of every opportunity presented to them. Additionally, their decisions are strong and they are not easily swayed.

Determination and self-drive- Leaders are also extremely self-driven individuals, with an internal determination to achieve their goals in order to achieve inner happiness. They are adamant about doing all it takes and whatever is within their means to ensure that the organisation achieves its objectives.

Excellent judgment—great leaders make well-informed, timely, and successful judgments and decisions. They always make thoughtful and strategic judgments in the best interests of the business. Additionally, the majority possess the charisma necessary to lead, and hence make sound judgments.

Leaders are also great motivators; they inspire their people to go above and beyond their capabilities and accomplish more. Additionally, they discover employees' skills and work to maximise their potential.

Among the numerous advantages of effective leadership are the following:

Effective leaders foster the development of effective teams: Effective leadership results in a firm-wide culture of collaboration and cohesion. This fosters trust and enhances interrelationships, hence strengthening teams. They motivate and lead by example, rather than by imposing sanctions on staff.

Increased productivity- effective leadership inspires people to believe they are all contributing to a common goal and that they each have a role to play. As a result, they become active participants in the common goal and are self-motivated to work harder to achieve the goals.

Reduced employee turnover- excellent leaders are identified by their ability to retain as many personnel as feasible. They seek out alternative methods of resolving events in order to reduce personnel turnover, which can have a detrimental impact on the firm's reputation. Instead of cutting off people, great leaders identify alternative options for these individuals and alternative methods of settling conflicts. They achieve it by lowering the significant costs associated with hiring and recruitment.

Identifying opportunities- Effective leaders are adept at identifying areas for growth and development. They are dreamers and goal-oriented individuals. According to Success Stream (2021), this indicates that enterprises have carved out a position for themselves in a competitive market by remaining competitive and relevant.

Increased revenue—superior leaders also ensure superior returns on investment. This is because they are capable of identifying business prospects, developing resources, and capitalising on available opportunities to boost business profits.

Excellent Change Management—excellent leadership also facilitates change management and adaptability. They are able to assist their employees in adapting to market changes, increasing their competitiveness, and thereby preserving their market niche (Goodwin, 2019).

Management Development is described as the process of enhancing managers' management abilities and competencies. Management Development can take on a variety of forms, including coaching, mentoring, job rotation, supervisory training, and professional development. Management development is critical since it improves managers' performance, stimulates them to be more productive, assists them in developing their potential and talents, assists them in developing their planning skills, and also helps them improve their execution and decision-making skills.

Management Development can be accomplished through Management Development Programs (MDPs) that improve participants' grasp of management principles, techniques, and practises. Members connect with one another, discuss management ideas, and develop their evaluation skills through exposure to real-world situations and encouragement to voice their opinions and suggestions. They obtain real-world experience through MDP that they may apply to their numerous management duties, including planning, monitoring, controlling, and decision-making.

Leadership will have a stronger influence at the Garvey Group since they already think that investing in people' learning and development has a positive impact on their bottom line success. In comparison to Leadership, Management Development aims to improve managers' performance, which may take time before the same values, skills, and insights trickle down to employees. Additionally, based on their organisational design, which places a premium on behavioural competencies, Leadership will bolster Team Spirit and Subtle Selling.

The contribution of leadership, as opposed to management development, to the Garvey Group's successful performance; Business needs should be translated into leadership outcomes; this then assists in establishing a more practical leadership model for the Garvey Group, as it is customised to the company's needs. Developing such a model requires leadership abilities, as it encompasses topics such as people leadership and personal efficiency. This benefits the Garvey Group by ensuring that staff and management are on the same page regarding leadership outcomes.

Shifting the emphasis from skills and training to character and personal efficiency—in the Garvey Group, because management takes a people-focused approach, leadership will ensure that employees' characteristics are increasingly vital to the achievement of their objectives. Employees will work on their attitudes and subsequent actions, as well as the impact they have on subtle selling.

Leadership integrates personal development responsibilities—at the Garvey Group, employees should be aware that they are required to develop their leadership talents on their own. This gives children the ability to make certain choices and then holds them accountable for their behaviour. This will encourage them to be self-motivated and accountable, acting solely in the interests of the organisation; failing which, they will be held accountable for their actions.

2. How may leadership theory inform the Group's leadership development?

Leadership theories inform Leadership in the Garvey Group by providing insight into the best way to approach a situation based on previously tested hypotheses. According to the Corporate Finance Institute (2021), the theories provide direction for future development of leadership abilities and qualities. Several leadership theories include the following:

The Great Man Theory asserts that the capacity to lead is inherent. It posits that leaders are born and ascend to positions of leadership when necessary. They are viewed as courageous and ordained. Their leadership abilities are without a doubt recognised by others. It maintains, however, that individuals can be born with or without significant leadership abilities. It takes a nature-based approach rather than a nurture-based approach. It was dubbed "Great Man" since traditionally, leadership was primarily associated with men, however now, females are assuming leadership roles in organisations and competing with men in terms of performance and productivity. It implies that charismatic leaders can be taught to improve their leadership abilities.

Behavioural Theory—here, the emphasis is mostly on the leaders' actions and performance, rather than on their own personalities. It argues that leadership develops as a result of a variety of acquired skills and competencies. Here, leadership is characterised in three ways: technical, conceptual, and personal. Here, leadership is developed (taught), not born. This approach is based on behaviourism; leaders are defined by their deeds rather than their mental characteristics. As a result, leaders can be developed through coaching and observation. It enables leadership development and training, as leaders can be instructed to behave a certain way.

Trait Theory — it allows for a comparison of potential leaders to present successful leaders. As a result, it generates a prediction on how excellent leaders should be. Several traits have been studied, including physiological (weight, height) and demographic (age, background, and judgement) characteristics. According to this view, some of the greatest characteristics of outstanding leaders include self-confidence, extroversion, and courage. However, this idea has a flaw in that some people possess these characteristics but do not necessarily make excellent leaders, while others who lack these characteristics do. It is suggested that leadership development should be centred on an individual's characteristics.

Situational Theory—this school of thought maintains that leadership is contingent upon the current circumstances. Thus, leaders are identified by the way they handle problems and their responses to current activities and individuals. When the leader is the most skilled member of the group, they may choose an authoritarian style, however when there are numerous professionals, democracy may be used. Thus, the circumstances govern the type of leadership to be adopted. According to the view, leadership development should empower leaders to accept responsibility for the many circumstances they face.

Contingency Theory is predicated on the premise that no single style of leadership is appropriate in all circumstances. It argues that the most effective leadership style is one that incorporates character, situation, and needs. Great leaders consider the current situation, their employees' requirements, and strike a balance on the best course of action. They are objective and take into account all factors, not simply their behaviour. These leaders become more effective as a result of establishing a common ground for staff to perform. Thus, leadership development should provide leaders with the ability to adapt their leadership styles to their current circumstances in order to get the best results.

Participative Theories- this school of thought maintains that excellent leadership requires consideration of the perspectives, ideas, and proposals of all relevant parties. These leaders encourage their followers to voice their thoughts, making them feel valued and participated in the decision-making process. As a result, employees will work toward achieving the company's objectives because they feel a sense of belonging. This boosts their commitment to their task and consequently their productivity. However, the leader exercises control over the inputs made to ensure that they are consistent with the firm's mission and vision. According to the notion, leadership development should involve all important stakeholders in decision-making and strategy design.

Management Theories—alternatively referred to as transactional theories. Their primary focus is on organisational, performance, and supervision functions. They are proponents of both incentives and punishment. These theories are frequently implemented in business settings, when staff are rewarded for meeting goals through gifts, promotions, or even praise. Meanwhile, when they fall short of their objectives, they are disciplined or scolded. This method is extremely rigid since it does not allow for flexibility or originality; employees perform only what is required of them. Additionally, learning development should incorporate praising employees for their accomplishments and encouraging them to avoid mistakes.

Relationship Theories—alternatively called transformational theories. They place a premium on the connections and ties formed between leaders and their followers. They aid members in appreciating the value and additional benefits associated with a particular assignment. The executives in this organisation foster excellent interpersonal interactions, and their ultimate goal is to maximise each employee's potential. These leaders are more likely to be very ethical and to adhere to strict moral principles. They accomplish tasks through the use of relationships. It contributes to leadership development by enabling individuals to be creative and fully utilise their abilities.

According to Brandley (2020), this theory is similar to the transactional theory. It places a premium on the existence of an in and out group. The in group (smaller population) is made up of management, whereas the out group (larger population) is made up of employees. The out group fulfils its obligations here, while the in group analyses and determines if the work was completed satisfactorily. The outgroup that does well is rewarded, while the outgroup that performs poorly is punished. According to the principle, leadership development should emphasise employees' talents and recognise their accomplishments.

Servant Leadership Theory—the theory asserts that leaders are recognised by identifying the many needs of their people and then devising ways to meet those needs. The primary responsibility of leaders is to serve their members, to ensure their comfort, and to do whatever it takes to meet their requirements. The theory aids to leadership development by ensuring that the leader is continually mindful of the servant's needs.

These leadership theories inform the Garvey Group's leadership development in the following ways:

Listening- servant leaders develop the ability to listen first before making final decisions, ensuring their decisions are well-informed. Listening instils a sense of importance in employees, as they believe that if their leaders listen to them, they will feel important in the organisation.

Leaders must be acutely aware of the conditions in which their followers find themselves. This will ensure that they make objective and equitable decisions.

Leaders are required to accept ownership of their actions and judgments. This encourages members to be accountable for their activities as well.

Leaders should demonstrate empathy for their followers and attempt to reason with them. This demands them to consider their suggestions and opinions when formulating plans and making judgments.

Inspirational- leaders should inspire others via their words and actions. They should place a premium on empowering individuals to be the best versions of themselves and so realise their full potential.

Intellectual stimulation- leaders should be able to inspire others to dream big and boldly. They must encourage others to think broadly and set loftier goals for themselves in order to optimise their potential.

Regulate distress- Leaders should foster an environment that encourages people to discuss their professional and personal concerns. This motivates people to be candid with their leaders and strengthens their trust in them.

Collaborative approach- leaders strive for collaborative work styles. They seek to accomplish more by carefully including all essential partners in completing a task. This results in improved performance, as each partner contributes what they are best at to the overall success of the performance.

3. How can and should human resources professionals collaborate with other members of the organisation to achieve effective leadership development?

The human resources department is critical in assuring the development of Garvey Group leadership. They are tasked with a variety of activities in this regard, including identifying future leaders, training them with effective leadership skills, and then assigning them places inside the organisation to test and develop their leadership competence. This is mostly done to ensure personal development and succession. This means that when leaders retire, resign, or pass away, they may be easily replaced by others, ensuring a seamless transition. This seamless transition guarantees that the business does not experience unnecessary volatility, which could have a detrimental effect on their industry's competitiveness.

Human resources' role in ensuring effective leadership.

Coaching and development of leaders- Human resources can assist in leadership development by recognising leaders' training needs. This data is gathered through appraisals and even direct observation. After that, specialists can coach the leaders on how to improve their leadership skills and, as a result, motivate them. Their strengths should be freely lauded in order to increase their self-confidence, while also identifying areas for growth. Additionally, human resources can aid in leadership development by suggesting appropriate courses and mentorship opportunities for leaders. This enables Garvey Group to develop its own leaders rather than hiring external leaders when its current leaders retire or quit (James Cook University 2019). In-built leaders perform significantly better in terms of performance and strategy development since they have a thorough understanding of the firm, as opposed to outsourced leaders who require time to comprehend the company culture and processes.

Incentives for promotion- Human resources should guarantee that a structure exists for promoting individuals based on their technical competence, talents, soft skills, and personality attributes. This is critical since leaders have a significant impact on employee morale and hence must consider the impact of promotion on the employees. Additionally, HR should guarantee that individuals promoted receive adequate coaching and mentoring in order to maximise their potential for the benefit of the company. Additionally, HR must assure the existence of a well-defined Succession Plan to lead the firm's continuation in the event of a Leader's retirement or resignation.

Employee-centric Concept- Human resources is responsible for ensuring that employees understand what constitutes effective leadership. This can be accomplished by HR noting the characteristics of an effective leader and their desired characteristics. This enables leaders to develop their interpersonal and soft skills, thereby strengthening their relationships with their subordinates. These tactics ensure that the procedures in place for hiring and keeping staff members are very successful, hence reducing employee turnover.

Concentrating on teamwork results in improved performance in general. This has been ascribed to the fact that when individuals operate in teams, their strengths are maximised and their flaws are minimised as they collaborate to complete various team activities. Because team spirit guarantees that all team members participate in team activities, leaders can identify future leaders within their teams based on their performance, allowing for seamless succession and transition.

Collaboration between top management and human resources is critical to ensuring leadership development. The partnership guarantees that Top Management provides resources for Leaders to be taught and mentored, either internally (via the Human Resources Department) or externally. The collaboration guarantees that the Learning Development Initiatives adhere to company standards and plans as well. When this partnership is implemented, employees typically profit more since they receive approval to develop their personal leadership talents while working under the supervision of their mentors (James Cook University 2019).

Bibliography

K. Brandley. "10 Leadership Theories." 2020. Connect.extension.org is available at www.connect.extension.org. (04/02/2021)

"Leadership Theories", Corporate Finance Institute, 2021. Corporte Finance Institute's website is available at www.corportefinanceinstitute.com. (04/02/2021)

Goodwin University, "Three Organizational Benefits of Effective Leadership", 2019. Accessible at www.goodwin.edu. (03/02/2021)

"5 Ways Human Resources Can Assist in the Development of Leaders," James Cook University, 2019. Accessible at www.thehrdirector.com. (04/02/2021)

Success-Stream 2021, “7 Benefits of Effective Leadership for Organisations”. (03/02/2021) Available at www.success-stream.co.uk