From: John Yost [john.yost@procompass-ms.com]
Sent: Wednesday, June 15, 2004 5:57 AM
To: Business Leader
Subject: ProCompass Newletter - Issue 28

Issue 28 June 15, 2004

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In this Issue:

Leadership vs. Management

“We have an abundance of managers and not enough leaders.” I have heard words to this effect from numerous companies and organizations and applying to a variety of situations. Outwardly this statement seems to imply that managers are not leaders, and unfortunately this is true all too often. But I am sure that we all know managers who are in fact very good leaders. The current organization assumption is that when someone is assigned to the role of manager he or she will naturally assume the role of leadership of the group they are assigned to manage. Such rash assumptions often lead to serious problems between management and employees.

Let’s looks at some of the differences between management and leadership:

Management tends to be concerned largely with “things” such as schedules, budgets, statistics and details. Managers tend to be interested in efficiency and effectiveness. The fundamental management question is “Are we doing things right?” The basic skills and knowledge necessary for management can be learned in business school, company sponsored course or simply through on the job learning.

Leadership tends to be concerned largely with “people” and people issues such as communication. Leaders tend to be concerned with direction and purpose. The fundamental leadership question is “Are we doing the right things?” The basic skills and abilities necessary for effective leadership tend to be related to behavior, and although these skills and abilities can be learned most leaders learn them by practicing them rather than studying them.

It should be obvious that both Leadership and Management are critically important to any organization, but under different circumstances and for different reasons. The analogy I like is that of a wagon train of the 1850’s heading west. At the beginning of the journey the wagon master provided the sense of the purpose and direction that the travelers needed to begin this arduous journey. He established intermediate goals for time and distance throughout the journey. As the journey progress he provided the encouragement needed to overcome obstacles, he also had scouts keep an eyes on the trail ahead to warn of danger or take advantage of opportunities. These are all examples of the leadership role. On the management side the wagon master also made sure that all travelers kept up with the wagon trail, no stragglers! He monitored daily progress toward their time and distance goals. He also monitored the use of food and water and arranged for re-supply. He made arrangement for security and settled disputes among the travelers. The wagon master of old had to be both andeffective leader and manager.

Organizations of today are considerably more complex than the wagon train of that era. But the leadership and management issues are much the same. Leadership is needed in any organization to provide direction and a sense of purpose. Management is required to assure the effective and efficient execution of all the elements required to achieve the stated purpose. Both management and leadership skills are required for virtually all jobs, but in varying degrees, and under different circumstances. Consider the following generalities concerning leadership and management:

q Generally, higher levels of positions in an organization require a greater leadership focus

q Generally, jobs requiring more human interaction (e.g. marketing, sales) require a greater leadership focus

q Generally, jobs requiring more involvement with tasks and details require a greater management focus

q Generally, Leadership is more important in times of change such as company start up, new product introductions, or ownership change.

q Generally, Management is more important when it is necessary to maintain stability.

Effective leadership and management are both critically important to success, and we all possess the capabilities for both, whether within organizations or in our personal lives. The key to effective management and leadership is to understand where each concept is required and learn to apply it effectively.Back to Top

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John Yost

ProCompass Management Services

(831) 438-7833

john.yost@procompass-ms.com

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