Course: Operations and Quality Management
Date of Submission
How Leadership is Changing Business Management + Real Business Examples
Business management is ineffective when there is no presence of strong leadership. This is because managing change in a business requires an unwavering and strong commitment from the organization’s leader or CEO, and the team that is involved in the major operations of the business, so as to create and gain commitment of all the stakeholders of the organization. Different authors and speakers have argued that change cannot be managed, but rather leaders should be preparing for and responding to change. However, change is inevitable in all global business environments. The survival of every organization, therefore, depends on the development of the ability to embrace change. This implies that strong leadership leads to successful business management which in turn leads to effective change management (Adair, 2011). An effective leader who can respond to and lead an organization to transformation is, therefore, the best choice of leadership for an organization that is undergoing change. Such a leader would create new and innovative systems that would drive the organization to its renewal process (Adeniyi, 2007).
The role of effective leadership and management in the renewal process of an organization is clearly recognized. However, the measures to be pursued in order to achieve the renewal process are often unclear (Francis-Nurse, 2007). This is the major reason as to why organizations face various leadership challenges, which must be sorted in order to achieve successful business management. Business management faces leadership challenges in the following ways:
• There is a shortage in leadership because of aging labor force and low birth rates. There is also an increasing diversity in the work force. Consequently, many organizations are relying on immigrants to fill the gap for much needed labor. Incorporating foreign workers into an organization can be very difficult because of cultural barriers. Human resource departments and leaders of organizations must pay attention to this issue. Only effective leaders can successfully recruit foreign workers and ensure that they are retained by their organizations and are highly motivated to work towards the achievement of organizational goals and objectives (Charney, 2013).
• Effective organizational leaders stay ahead of the change curve as their organizations create a learning culture through
a. Coaching organizational executives so as to, further, develop their skills and make them stronger corporate managers
b. Developing and nurturing fresh business managers by teaching them new skills and instilling the right skills in them (Francis-Nurse, 2007).
• Effective organizational leaders also change the organization’s culture by encouraging workers to share knowledge as opposed to hoarding knowledge. They transform their organizations into learning organizations. Value growth and sustained growth depends on any organization’s ability to manage knowledge. The most important factor in this process is the challenge that middle management face in the development of mental acumen and political savvy, to provide guidance for top leadership and lead from the fore front (Callahan, 2006).
• Leadership has helped organizations recognize the difference between leading and managing their businesses. Leadership leads to transformation of the organizations, and is focused on coping with change in the organization. On the other hand, management deals with coping with complex activities through budgeting and planning (Giang, 1999).
• Leadership has also changed business management through ensuring that top management cultivates effective teams and recognizes when to switch...