Acca F1 Chapter 4

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Chapter 4: Leadership, management and supervision
Chapter learning objectives
Upon completion of this chapter you will be able to:
* define the term leadership
* define the term management
* define the term supervision
* explain the difference between a leader and a manager
* distinguish between the role of the manager and the role of a supervisor * explain the classical approach to management using theories of Fayol and Taylor * explain the main duties of a manager according to Fayol * outline the relevance of classical approach to modern data practices * explain the nature of the human relations school – Mayo * describe the modern school of management with reference to the theories of Mintzberg and Drucker * describe the three managerial roles as per work of H Mintzberg * explain what is meant by authority

* explain what is meant by the term responsibility
* identify the main sources of authority
* explain the relationship between authority and responsibility * explain the situational approach to leadership using Adair's theory * explain the contingency approach using Fiedler's leadership theory * explain the differences between transactional and transformational leadership referring to the Bennis theory * describe the phases of the change process referring to Kotter theory * explain the Heifetz leadership theory

* explain the five scores on the Blake and Mouton managerial grid * outline the usefulness of the Blake and Mouton grid
* describe the four leadership styles as per Ashridge.

1 Introduction
1.1 Leadership
 Abasic definition of a leader is 'someone who exercises influence overother people'. This can be expanded into a more complex definition:'Leadership is an interpersonal influence directed toward theachievement of a goal or goals'. * Interpersonal – between people.

* Influence – the power to affect others.
* Goal – something that we need/want to achieve.
Leadership is a conscious activity and is concerned with settinggoals and inspiring people to provide commitment to achieve theorganisation's goals. 1.2 Managers
 Allmanagers have in common the overall aim of getting things done,delegating to other people rather than doing everything themselves. Management can be defined as 'the effective use and co-ordinationof resources such as capital, plant, materials and labour to achievedefined objectives with maximum efficiency'. A leader can be a manager, but a manager is not necessarily aleader. If a manager is able to influence people to achieve the goals ofthe organisation, without using formal authority to do so, then themanager is demonstrating leadership.

 Illustration 1 – Differences between managers and leaders The manager administers; the leader innovates.
The manager relies on control; the leader inspires trust.
The manager has his eye on the bottom line; the leader has his eye on the horizon.

 1.3 Supervision
The supervisor is part of the management team.
* The supervisor is a person given authority for planning and controlling the work of their group, but all they can delegate to the group is the work itself. * A supervisor, therefore, is a type of manager whose main role is to ensure that specified tasks are performed correctly and efficiently by a defined group of people. * In general, supervisors will also be doing operations work and giving advice to others to help solve problems. If the more senior manager is absent, the supervisor will take over the role.

 Illustration 2 – The role of a supervisor
Supervisors divide their time between supervisory duties and adetailed task. For example a supervisor in purchasing may also regularlycomplete some clerical work like raising purchase orders.

Managers must ensure that supervisors understand organisationalobjectives and communicate the power and limits of the...
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