If management is defined as getting things done through others, then leadership should be defined as the social and informal sources of influence that you use to inspire action taken by others. It means mobilizing others to work together toward a common goal. Great leaders help build an organization’s human capital, then motivate individuals to take concerted action. Leadership also includes an understanding of when, where, and how to use more formal sources of authority and power, such as position or ownership.
Increasingly, we live in a world where good management requires good leaders and leadership. While these views about the importance of leadership are not new, competition among employers and countries for the best and brightest, increased labor mobility (think “war for talent” here), and hypercompetition puts pressure on firms to invest in present and future leadership capabilities.
P&G–the maker of Tide laundry detergent, Old Spice deodorant, and Crest toothpaste among other consumer staples–provides a very current example of this shift in emphasis to leadership as a key principle of management. For example, P&G recruits and promotes those individuals who demonstrate success through influence rather than direct or coercive authority. Internally, there has been a change from managers being outspoken and needing to direct their staff, to being individuals who electrify and inspire those around them. Good leaders and leadership at P&G used to imply having followers, whereas in today’s society, good leadership means followership and bringing out the best in your peers. This is one of the key reasons that P&G has been consistently ranked among the top 10 most admired companies in the United States, according to Fortune magazine.1Ranking of Most Admired Firms for 2006, 2007, 2008. http://www.fortune.com (accessed October 15, 2008).
Views on Managers Versus Leaders
“My definition of a leader…is a man who can persuade people to do what they don’t want to do, or do what they’re too lazy to do, and like it.”
– Harry S. Truman (1884–1972), 33rd president of the United States
“You cannot manage men into battle. You manage things; you lead people.”
– Grace Hopper (1906–1992), Admiral, U.S. Navy
“Managers have subordinates—leaders have followers.”
– Chester Bernard (1886–1961), former executive and author of Functions of the Executive
“The first job of a leader is to define a vision for the organization…Leadership is the capacity to translate vision into reality.”
– Warren Bennis (1925–2014), author and leadership scholar
“A manager takes people where they want to go. A great leader takes people where they don’t necessarily want to go but ought to.
– Rosalynn Carter (1927–), First Lady of the United States, 1977–1981
Management 2020 text remixed from multiple sources under a CC Attribution-NonCommercial-ShareAlike 4.0 International License. View a complete list of original sources.
