THE DIRECTING AND LEADING FUNCTION

1.0 INTRODUCTION

Directing is concerned with channeling human efforts towards the achievement of organisational goal. The success of these directional efforts is going to determine the satisfactory or unsatisfactory performance within the organisation. Accordingly, the directing function is the action function that tests the managerial capability in running the organisation.
The satisfactory performance of workers is going to be partly dependent upon the “directional” ability of management, but primarily it is a function of the organisational environment. If the environment is not conducive to optimum performance, the managerial directing in itself cannot bring in the optimum results. Accordingly, favourable conditions must exist which will provide for enthusiastic cooperation among all people to work together to achieve both individual and group goals.


Since the purpose of directing is to make effective use of employees, it is usually initiated by the higher echelons of management. However, the employee input into directing decisions will be highly useful, thus creating an organisational climate where workers enhance the quality of working life.

In this unit, you will be exposed to the functions and roles of directing and leading in management and how these functions relate to the attainment of organisational goals or objectives.

table of content A

1. personal selling and sales promotion 
2. branding 
3. evolution of management theory
4. organising 
5. planning
6. recruitment and selection
7. advertising and publicity
8. channels of distribution
9. communication
10. control
11. decision-making in business
12. delegation and decentralisation of authority
13. employee training and development
14. introduction to marketing

2.0 OBJECTIVES

At the end of this unit, you should be able to:

1.  describe the factors that enhance the quality of performance in an organisation 
2.  illustrate what leadership is all about 
3. explain the theories of leadership 
4. discuss leadership styles and personal characteristics of a leader. 

3.0 MAIN CONTENT

3.1 Directing and Leading

Directing and leading comprise the managerial function of guiding, overseeing and leading people. The primary element in this function is the human element and ideals of personal relationships. This area is primarily geared towards leadership, motivation, and communication. Since human element is the central element in the art and science of managing, the study of human relations has been of major interest to management.

3.1.1 Organisational Climate

Schneider (1975) refers to organisational climate as the entire internal environment of the organisation. What is the organisational climate or the internal environment? Does it have any physical characteristics or is it primarily the way it is perceived by its members? The climate reflects the needs, desires and aspirations of the people who form the environment. In that context, an environment has about it a set of characteristics that are perceived by the members of the organisation. According to Litwin and Stringer (1966), some of these characteristics include:

1. the extent of individual autonomy allowed to members 
2. the degree to which superiors establish and communicate objectives, rules and methods to their subordinates 
3.  the type of behaviours rewarded by the organisation and the type of rewards offered 
4. the consideration, warmth and support expressed by superiors to their subordinates 
5. the extent of conflict and how it is managed 
6. the extent to which the members are allowed to participate in the decision-making process. 

Each organisation will be different in terms of climate as well as in the direction style prevalent therein. The directional style will depend upon the philosophy, culture and outlook of the manager. Similarly, the organisational climate is also identified by its culture, its traditions, history of the organisation and so on (Gellerman, 1959). There are a number of categories that define the climate of many organisations. According to Harrison (1972), there are four broad categories. These are listed below.

1. Power-oriented climate - These are organisations that are dominated by autocratic leadership. These may be family dominated businesses or an organisation started by one person who is still influential in organisational policy decisions. The power structure is highly visible and the subordinates are highly dependent upon their superiors for job security and job advancement. Decisions are made at the top and the instructions for implementing such decisions pass down along the chain of command. 
2. Role-oriented climate - In this type of organisation, all managerial and other roles are clearly defined. The operative rules and procedures regulate actions and operations resulting in order and rationality. These organisations are highly stable and changes are difficult to implement. Responsibility and accountability are adequately traceable. Individual judgements are influenced by established rules and regulations. 
3. Task-oriented climate - In a task-oriented organisation, all efforts are directed towards achievement of goal. For example, if the goal is quality healthcare in a hospital, all decisions and efforts are directed towards that goal. All performances are measured relative to the goal standards. All rewards are based on the degree of contribution towards that goal. All activities, all rules and regulations are designed with only the goal in mind. All unskilled people, relative to that particular goal, are replaced or retrained. Any deviations are taken very seriously. The goals are highlighted. These goals may be profit-making, capturing a market share, imparting high quality education in a university, etc. Some innovative business companies who hire only the most professional workers will fall into this category. 

3.1.2 Human Relations

Direction is concerned with securing the cooperation of workers for the realisation of organisational objectives. Such operation is easier to, if personal objectives are integrated with organisational objectives. While organisational objectives are well established and defined for a given organisation, individual objectives are highly diversified and depend upon the workers’ beliefs, perceptions and emotions. Hence, the characteristics of human behaviour as well as the field of human relations must be fully realised by management.

Human relation is a highly diverse field. Human beings can interact with each other in a number of ways – everything from helping and cooperation on one extreme to conflict and aggression on the other (Baron, 1984). Studies by psychologists and cultural anthropologists have provided important insights into the patterns of human behaviour. Some of the factors affecting human behaviour are listed below (Chatterjee, 1966).

1. Cultural influences - Culture is a learned phenomenon from childhood and is influenced by family environment as well as external environment. It consists of a common way in which people live, think and work in a society and interact with each other. It is a shared set of beliefs, customs and habits within a group. It is crystallised in the institutions that people have built together with grassroots in religion, family, community, education, etc. (Hofstede, 1980). Business operations and managerial actions are always affected by the cultural setting of the members of an organisation. Some cultures expect participative style of managerial leadership, while members of other cultures believe in personality cult, thus expecting authoritarian style of leadership. Accordingly, the function of directing must ensure that all directions are in accordance with the cultural values of the people and any possible conflicts are minimised. 
2. Role and status - Status implies social standing in the community and is determined by the role of a person. A police commissioner or a judge has a high status in the society because of the role he plays. For example, a police commissioner who is fired from the job loses his status because he is no longer in the role of a police commissioner. 

Similar status differences exist within an organisation. These differences may be due to the positions in the scalar chain of the hierarchical structure or these may be due to performance of different functions, where respect is earned due to skill in a given function. Chatterjee (op.cit) suggests that these status differences serve four purposes in a formal organisation.

3.2 Leadership

Leadership is an integral part of management and plays a vital role in managerial operations. If there is any single factor that differentiates between successful and unsuccessful organisations, it has to do with dynamic and effective leadership. Peter Drucker (1954) points out that “managers (business leaders) are the basic and scarcest resources of any business enterprise”. George Terry (1960) points out that, “of every one hundred new business establishments started, approximately 50 or one half go out of business within two years. By the end of 5 years, only one-third of the original one hundred will still be in business”. Perhaps it will be a valid assumption to state that the major cause of these failures is ineffective leadership.

Leadership is not an attribute of business alone. In the military, in the government, in the academia, in hospitals and in places where people work in groups, the leadership function emerges. There must be somebody to guide that group. Leadership may be defined as the art of influencing and inspiring subordinates to perform their duties willingly, competently and enthusiastically for the achievement of group objectives. Most management writers agree that, “leadership is the process of influencing the activities of an individual or a group in efforts towards goal achievement in a given situation” (Hersey and Blanchard, 1982).

3.3 Types of Leadership

There are mainly two types of leadership, namely: formal and informal leadership.

(c) Formal leadership 

Formal leadership occurs when a person is appointed or elected as an authority figure. For example, anyone who is appointed as a manager is also given the authority to exercise formal leadership in relationship to his subordinates. Similarly, a formally elected leader of a country or a state acquires the authority of leadership and giving direction to the country or state.

(d) Informal leadership

Informal leadership emerges when a person uses interpersonal influence in a group without designated authority or power. These leaders emerge in certain situations, because of their charm, intelligence, skills or other traits, and to whom other people turn to for advice, direction and guidance. Religious and civic leaders fit into this category. Successful managers, who exercise their given authority in a formal way, are also capable of exercising informal leadership relationships with people both within as well as outside the organisation.

3.6 Leadership Styles

Leadership styles can be classified according to the philosophy of the leaders. What the leader does determines how well he leads. A style leadership is a “relatively enduring set of behaviours which is a characteristic of the individuals, regardless of the situation” (Fiedler, et al.). Some of such styles are discussed below.

1. Autocratic or dictatorial leadership 

Autocratic leaders keep the decision-making authority and control in their own hands and assume full responsibility for all actions. Also, they structure the entire work situation in their own way and expect the workers to follow their orders. The autocrat ranges from tough to paternalistic, depending upon whether his motivational approach is threat and punishment or rewards. The autocratic leader believes that his leadership is based upon the authority conferred upon him by some source, such as his position, knowledge, strength or the power to punish and reward.

2. Participative or democratic leadership

In this type of leadership, subordinates are consulted and their feedback is taken into decision-making process. The leader’s job is primarily in the manner of a moderator, even though he makes the final decision and he alone is responsible for the results. The group members are encouraged to demonstrate initiative and creativity and take intelligent interest in setting plans and policies and have maximum participation in decision-making. This ensures better management, healthy labour relations, higher morale and greater job satisfaction. This type of leadership is especially effective when the workforce is experienced and dedicated and is able to work independently with least directives.

3. Laissez-faire or free-reign leadership

In this type of leadership, the leader is just a figurehead and does not give any direction. He acts principally as a liaison between the group and the outside elements and supplies necessary materials and provides information to group members. He lets the subordinates plan, organise and develop their own techniques for accomplishing goals within the generalised organisational policies and objectives. The leader participates very little and instead of leading and directing, he becomes just one of the members. He does not attempt to intervene or regulate or control and there is complete group or individual freedom in decision-making. This type of leadership is highly effective when the group members are highly intelligent and are fully aware of their roles and responsibilities and have the knowledge and skills to accomplish these tasks without direct supervision.

This type of leadership is evident in research laboratories where the scientists are fairly free to conduct their research and make their decisions. Similarly, in a university or a college, the chairperson does not interfere in the professor’s teaching methods, but only assigns the courses to be taught. From then onwards, the professors are very much their own leaders.

3.7 Personal Characteristics of Leaders

Leadership is an intangible quality and its effectiveness can best be judged by the behaviour and attitudes of followers. Even though personal backgrounds and personalities differ widely; education, social status, etc., are poor indicators of judgement of successful leaders. However, some behavioural characteristics may be common to most effective leaders. Some of these characteristics are listed below.

1. Ability to inspire others - This may be an internal “charisma” which is an inborn trait and may not be a learnable factor. 
2.  Problem solving skills - An effective leader has developed the patience and ability to look at the problem from various angles and get down to the cause of the problem and tries to solve the problem, rather than the symptoms of the problem. 
3.  Emotional maturity - They are self-confident, rational and emotionally mature. They do not lose temper quickly and are open hearted towards differences in opinions and opposing viewpoints. They are warm and sensitive and not vindictive in nature. 
4. Ability to understand human behaviour - He must understand the needs, desires and behaviour of their subordinates and show respect for such desires. He is emotionally supportive and is careful enough to avoid ego threatening behaviour. He must give credit to subordinates when the efforts are successful. 
5.  Verbal assertiveness - A leader must be an effective orator and must be confident of his opinions and views. He must communicate his views honestly and in a straight forward manner without fear of consequences. 

4.0 CONCLUSION

In this unit, you have been guided through the functions and roles of directing and leading in management and how these functions relate to the attainment of organisational goals or objectives.