The two terms leadership and management are often used interchangeably. While they serve similar purposes, there are significant differences between them to be aware of.
Managers and leaders. Who are they?
Are managers leaders? Are leaders managers? How are leadership and management different?
➤ LEADER. A leader is someone who emerges and their ability to lead other people comes more from their ability and personality than from their formal position. A manager may also be a leader and vice versa, but not necessarily so. A leader is someone who influences and inspires others to get things done by fostering motivation, respect, trust and loyalty from the workforce. Leaders tend to focus on achieving broader goals or visions with no definite time frame in mind.
➤ MANAGER. A manager is someone who has, as a result of appointment to a particular role or position, legitimate power to do that role. Mary Parker Follett famously defined management as ‘the art of getting things done through people’. It is essentially about problem-solving and decision-making, so involves a process of planning, organizing and coordinating human and capital resources to achieve organizational objectives. Managers tend to focus on achieving specific goals within a definite time frame.
Business organizations, should distinguish between the complementary roles of management and leadership to ensure the efficient running of their organizations.
Main differences between leadership and management
The differences between leadership and management revolve around differences in their characteristics, roles and outcomes. Let’s take a look in details:
- Devotion and time horizon. While managers often stick to set working hours, leaders dedicate themselves beyond typical schedules, taking responsibility for the organization’s well-being around the clock. Additionally, this reflects Professor Warren Bennis‘s observation that leaders possess a long-term perspective, focusing on strategic decisions with lasting impact, while managers handle more immediate tactical concerns.
- Roles and responsibilities. Leaders excel at answering ‘What?’ and ‘Why?’ questions, driving the organization’s strategic direction with innovative thinking. Think of Steve Jobs inspiring Apple employees to ‘change the world’. In contrast, managers excel at the ‘How?’ and ‘When?’ of daily operations, ensuring smooth execution. While managers know how to get things done within existing structures, leaders identify better ways to achieve goals.
- Influence on others. While managers rely on their position of authority for compliance, leaders inspire and motivate through their actions. They prioritize people over tasks, fostering social engagement and intellectual capital within the workforce, as Warren Bennis suggests. Unlike ‘herding cats’, leaders empower talented individuals to drive organizational growth.
- Risk-taking. Managers primarily navigate within established rules and policies, prioritizing order and control. In contrast, leaders possess a more radical mindset, willing to challenge the status quo and take calculated risks to propel the organization forward.
- Vision. Leaders are often distinguished by their ability to articulate a compelling vision, as exemplified by Napoleon Bonaparte’s quote about ’dealing in hope’. They cultivate a culture that embraces change and propels individuals towards future possibilities, while managers effectively operate within existing structures and excel in stable environments.
Despite these differences, both management leadership are important and necessary for any business to be successful. While some managers have traits of leaders and vice versa, this is not necessarily desirable as they provide different strengths to enable a firm to meet its business objectives.
Differences between the skills of leaders and managers
While the terms leader and manager are often used interchangeably, there are key differences in their skill sets and approaches. Here is a breakdown:
LEADERSHIP:
- Do the right things (sets goals)
- Knowing what’s right
- Asks why?
- Motivating and inspiring others
- Empowering ‘followers’
- People orientated
- Create and foster a culture of change
- Innovators
- Action
- Takes risks
- Strategic decision-making
- Respected by others
- Decisiveness
- Natural instincts
- Provide direction even when unpopular
- Provides guidance and counsel
- People follow their example
- Motivates and inspires
- Creates change
- Builds relationships and trust
- Trains and teaches
- Questions rules and regulations
- Strategic orientation
MANAGEMENT:
- Do things right (achieve goals)
- Doing what’s right
- Asks how?
- Directing and controlling others
- Delegating tasks to subordinates
- Task orientated
- Conform to organizational norms
- Implementers
- Position
- Averts risks
- Tactical planning and monitoring
- Listened to by others
- Analysis
- Learned skills
- Planning and budgeting
- Organizing and staffing
- Follows orders
- Controlling and solves problems
- Maintains control and order
- Protects status quo
- Writes memorandums
- Follows rules and regulations
- Technical orientation
It is important to note that these are not mutually exclusive skill sets. Many individuals possess both leadership and management skills, and the ideal balance between them can vary depending on the situation and context. Some people see leadership as an innate quality, while others believe it can be learned and developed.
Regardless of your natural tendencies, there are always ways to hone your leadership and management skills.
